GDS Holdings $GDS Holdings Boosted by Sachem Head Capital Management LP

Sachem Head Capital Management LP increased its stake in shares of GDS Holdings (NASDAQ:GDS) by 45.0% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 9,300,000 shares of the company’s stock after buying an additional 2,885,000 shares during the quarter. GDS comprises 7.6% of Sachem Head Capital Management LP’s holdings, making the stock its 4th largest position. Sachem Head Capital Management LP’s holdings in GDS were worth $324,570,000 as of its most recent filing with the SEC.

A number of other institutional investors have also recently added to or reduced their stakes in GDS. Canada Pension Plan Investment Board lifted its position in GDS by 77.7% during the second quarter. Canada Pension Plan Investment Board now owns 7,004,083 shares of the company’s stock worth $214,115,000 after buying an additional 3,062,658 shares in the last quarter. Barclays PLC lifted its position in GDS by 20,731.3% during the fourth quarter. Barclays PLC now owns 1,720,247 shares of the company’s stock worth $60,037,000 after buying an additional 1,711,989 shares in the last quarter. Carrhae Capital LLP lifted its position in GDS by 295.4% during the third quarter. Carrhae Capital LLP now owns 1,648,278 shares of the company’s stock worth $63,788,000 after buying an additional 1,231,375 shares in the last quarter. Marshall Wace LLP lifted its position in GDS by 1,671.6% during the third quarter. Marshall Wace LLP now owns 1,227,203 shares of the company’s stock worth $47,493,000 after buying an additional 1,157,934 shares in the last quarter. Finally, Bamco Inc. NY lifted its position in GDS by 35.0% during the third quarter. Bamco Inc. NY now owns 4,258,664 shares of the company’s stock worth $164,810,000 after buying an additional 1,104,756 shares in the last quarter. Hedge funds and other institutional investors own 33.71% of the company’s stock.

Insiders Place Their Bets

In other GDS news, Director Judy Qing Ye sold 37,394 shares of GDS stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $36.21, for a total value of $1,354,036.74. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, VP Yixin Qian sold 10,000 shares of GDS stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $35.25, for a total value of $352,500.00. Following the completion of the sale, the vice president directly owned 66,865 shares of the company’s stock, valued at $2,356,991.25. The trade was a 13.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 7.99% of the stock is owned by insiders.

GDS Price Performance

NASDAQ:GDS opened at $32.56 on Monday. GDS Holdings has a 52 week low of $25.47 and a 52 week high of $48.61. The company has a quick ratio of 1.87, a current ratio of 1.87 and a debt-to-equity ratio of 1.25. The company has a market capitalization of $6.52 billion, a P/E ratio of 20.74 and a beta of 0.39. The stock’s fifty day moving average is $39.94 and its two-hundred day moving average is $40.27.

GDS (NASDAQ:GDS) last posted its earnings results on Friday, May 15th. The company reported $1.53 EPS for the quarter, beating analysts’ consensus estimates of ($0.03) by $1.56. GDS had a return on equity of 15.62% and a net margin of 23.83%.The company had revenue of $426.13 million for the quarter, compared to the consensus estimate of $436.44 million. During the same quarter in the previous year, the business earned $3.47 earnings per share. The company’s revenue for the quarter was up 23.7% on a year-over-year basis. Equities analysts expect that GDS Holdings will post 5.65 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the company. Weiss Ratings upgraded GDS from a “hold (c-)” rating to a “hold (c)” rating in a research report on Monday, May 18th. Piper Sandler set a $36.00 price objective on GDS in a research report on Thursday, May 21st. Morgan Stanley reiterated an “overweight” rating and set a $64.00 price objective on shares of GDS in a research report on Tuesday, March 17th. Wall Street Zen upgraded GDS from a “sell” rating to a “hold” rating in a research report on Saturday, May 2nd. Finally, Zacks Research downgraded GDS from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 18th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $48.04.

GDS Profile

GDS Holdings Limited, founded in 2001 and headquartered in Shanghai, is a leading network-neutral data center services provider in China. The company operates a portfolio of state-of-the-art data center facilities designed to support the mission-critical IT infrastructure of cloud service providers, internet enterprises, financial institutions, and government entities. GDS was among the first Chinese providers to offer high-density colocation solutions, catering to customers with demanding computing and storage requirements.

GDS specializes in delivering scalable colocation, cross-connect, and interconnection services within its facilities, enabling clients to establish high-speed, low-latency connections to major cloud platforms and internet exchange points.