NetEase stock: buy or sell?
March 31st, 2020
NetEase, Inc. operates an interactive online community in the People's Republic of China. The company operates through Online Game Services; Advertising Services; and E-mail, E-commerce and Others segments.
Should I buy NetEase stock?You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
Currently, NetEase stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is NetEase stock a buy?
Banks and financial institutions publish stock ratings everyday.Unfortunately, we couldn't find any rating for NTES stock for the last 30 days.
NetEase stock analysis
NetEase boosted an extraordinary 4.58% and closed at $320.96.
NetEase shares boosted 4.58% to $320.96 today. On March/19 NTES price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. NTES is soaring again after a 8.53% correction from its last top on Mar/24 at $328.00.
NetEase boosted an exceptional 6.51% this week. By mid March NTES plummed a spooky -12.22% in just one week.
NTES marked an uptrend of rising tops and rising bottoms. Since its last top by mid February at $359.86, price slid and bounced up back from $265.86. Breaking down under $265.86 would cancel the current uptrend and it might test lower supports. Note that $359.86 might act as a resistance line. Since last week when NTES stock price broke up the SMA40w line, it gained $35.90 (12.59%). Late September 2019, SMA10w and SMA20w crossed up triggering a rise of 26.53%.
NetEase stock price history
NetEase IPO was on June 30th, 2000 at $3.30 per share1. Since then, NTES stock grew a 9,626.10%, with an average of 506.60% per year. If you had invested $1,000 in NetEase stock in 2000, it would worth $96,261.00 today.
1: Adjusted price after possible price splits or reverse-splits.
NetEase stock historical price chart
NTES stock reached 52-week highs on February/19 at $359.86, and all-time highs 2017-12-21 with a price of 361.63.
NetEase stock price targetHow much a stock will be priced tomorrow or next week is quite unpredictable However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' NTES stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we have not detected any price forecast for NetEase stock by any trusted analyst.
Financials and fundamental analysis
Earnings date and Earnings per Share, NetEase presented its financial report, posting an exceptional growth for the Earnings per Share (EPS) ratio. Experts expected $1.51 per share, but NetEase posted $1.92.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual revenues report draw an astounding growth of 24.13% to $67,156.50 million dollars. However, its earnings margin (compared to sales) plunged to 9.16%, that is $6,152.41 million.
|2013||$1,500 M||-||$724 M48.2%||-|
|2014||$1,887 M||25.83%||$767 M40.6%||5.93%|
|2015||$22,803 M||1,108.13%||$6,735 M29.5%||778.68%|
|2016||$38,179 M||67.43%||$11,605 M30.4%||72.30%|
|2017||$54,102 M||41.71%||$10,708 M19.8%||-7.73%|
|2018||$67,157 M||24.13%||$6,152 M9.2%||-42.54%|
Quarterly financial resultsNetEase posted $19,844.30 M in revenues for 2018-Q4, a 17.73% up compared to previous quarter. Reported quarter income marked $1,697.70 M with a profit margin of 8.56%. Profit margin stayed steady a -0.92% compared to previous quarter when profit margin was 9.47%. When comparing sales to same quarter last year, NetEase sales marked a super good increase and rocketed a 783.57%. Looking back to recent quarterly results, NetEase posted 5 negative quarters in a row.
|2017-Q1||$1,980 M||-||$569 M28.8%||-|
|2017-Q2||$1,950 M||-1.52%||$433 M22.2%||-23.93%|
|2017-Q3||$1,875 M||-3.83%||$380 M20.3%||-12.31%|
|2017-Q4||$2,246 M||19.76%||$198 M8.8%||-47.96%|
|2018-Q1||$14,173 M||531.06%||$752 M5.3%||280.39%|
|2018-Q2||$16,284 M||14.89%||$2,107 M12.9%||180.16%|
|2018-Q3||$16,855 M||3.51%||$1,596 M9.5%||-24.22%|
|2018-Q4||$19,844 M||17.73%||$1,698 M8.6%||6.35%|
NetEase ownershipWhen you are planning to buy shares of a stock, it's worth to review its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For NetEase, 1.55% of all outstanding shares are owned by its staff.
In case of NetEase stock, 52.09% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for NTES stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to NetEase:
|Market cap||$41.1 B|
|Total shares||128.0 M|
|Float shares||70.4 M|
|- Institutional holdings (%)||52.1%|
|- Insider holdings (%)||1.6%|
|Shares in short selling||0.0%|
|Tuesday, March 31st, 2020|
|Day range||$307.87 - $321.48|
|Average true range||$23.66|
|50d mov avg||$325.87|
|100d mov avg||$317.09|
|200d mov avg||$285.27|
NetEase performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. For NetEase, the comparison is made against .
NetEase competitorsUnfortunately, we could not find any public company that could be defined as NetEase competitor. This doesn't mean NetEase does not have any competitor in the market, it's just we could not detected it.
Latest NetEase stock news
- InvestorPlaceNetEase Earnings: NTES Stock Surges on Q1 Earnings BeatMay 15, 2019
- Seeking AlphaNetEase Has Global Growth PlansApril 7, 2019
- Investors.comJobs Report Fuels New Round Of Buying In Nasdaq Today; NetEase Leads Nasdaq 100April 5, 2019
- InvestorPlaceNetEase Stock Must Overcome Credibility Issues for Q4 EarningsFebruary 20, 2019
- Investors.comStock Futures Weak; Walmart Jumps, NetEase Surges On Amazon DealFebruary 19, 2019