Baozun Inc. (NASDAQ: BZUN) stock jumped 6.08% on Friday to $7.50 against a previous-day closing price of $7.07. With 1.54 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.04 million shares. During the session, the Internet Retail company that operates in wider Consumer Cyclical sector, reached to the highest price of $7.63 whereas the lowest price it dropped to was $7.35. The 52-week range on BZUN shows that it touched its highest point at $14.27 and its lowest point at $3.41 during that stretch. It currently has a 1-year price target of $8.05. Beta for the stock currently stands at 0.53.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of BZUN was up-trending over the past week, with a rise of 1.76%, but this was up by 52.13% over a month. Three-month performance surged to 51.52% while six-month performance fell -26.90%. The stock lost -42.40% in the past year, while it has gained 41.51% so far this year. A look at the trailing 12-month EPS for BZUN yields -0.91 with Next year EPS estimates of 0.68. For the next quarter, that number is 0.42. This implies an EPS growth rate of -145.60% for this year and 65.90% for next year. EPS is expected to grow by 23.87% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -31.40%.
Float and Shares Shorts:
At present, 58.72 million BZUN shares are outstanding with a float of 53.86 million shares on hand for trading. On Oct 13, 2022, short shares totaled 3.13 million, which was 5.31% higher than short shares on Sep 14, 2022. In addition to Mr. Junhua Wu as the firm’s Co-Founder, Chief Growth Officer & Director, Mr. Wenbin Qiu serves as its Co-Founder, Chairman & CEO.
Through their ownership of 39.61% of BZUN’s outstanding shares, institutional investors have minority control over the company. Other institutions hold 23.81% of BZUN, in contrast to 21.55% held by mutual funds. Shares owned by individuals account for –. As the largest shareholder in BZUN with 5.65% of the stake, Vontobel Asset Management, Inc. holds 3,070,096 shares worth 3,070,096. A second-largest stockholder of BZUN, Goldman Sachs & Co. LLC, holds 1,994,033 shares, controlling over 3.67% of the firm’s shares. Schroder Investment Management is the third largest shareholder in BZUN, holding 1,489,452 shares or 2.74% stake. With a 2.72% stake in BZUN, the CREF Stock Account is the largest stakeholder. A total of 1,477,086 shares are owned by the mutual fund manager. The Virtus Vontobel Emerging Markets, which owns about 2.04% of BZUN stock, is the second-largest Mutual Fund holder. It holds 1,111,079 shares valued at 5.89 million. TIAA-CREF Emerging Markets Equity holds 1.67% of the stake in BZUN, owning 905,373 shares worth 4.8 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for BZUN since 11 analysts follow the stock currently. There are 6 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 3 believe that the stock is worth HOLDING, 1 give it an OVERWEIGHT rating, and 1 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With BZUN analysts setting a high price target of $70.38 and a low target of $29.39, the average target price over the next 12 months is $52.36. Based on these targets, BZUN could surge 838.4% to reach the target high and rise by 291.87% to reach the target low. Reaching the average price target will result in a growth of 598.13% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. BZUN will report FY 2022 earnings on 03/07/2024. Analysts have provided yearly estimates in a range of -$0.96 being high and -$4.65 being low. For BZUN, this leads to a yearly average estimate of -$3.19. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Baozun Inc. surprised analysts by -$0.15 when it reported -$0.13 EPS against a consensus estimate of $0.02. The surprise factor in the prior quarter was -$0.13. Based on analyst estimates, the high estimate for the next quarter is $8.58 and the low estimate is $2.59. The average estimate for the next quarter is thus $4.60.