iQIYI Inc. (NASDAQ: IQ) stock fell -0.21% on Friday to $4.75 against a previous-day closing price of $4.76. With 3.84 million shares changed hands, the volume of the stock remained lighter than its average volume of 10.22 million shares. During the session, the Entertainment company that operates in wider Communication Services sector, reached to the highest price of $4.8100 whereas the lowest price it dropped to was $4.6800. The 52-week range on IQ shows that it touched its highest point at $7.99 and its lowest point at $1.65 during that stretch. It currently has a 1-year price target of $7.35. Beta for the stock currently stands at 0.66.
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 IQ was up-trending over the past week, with a rise of 2.59%, but this was down by -13.64% over a month. Three-month performance dropped to -13.64% while six-month performance fell -33.19%. The stock gained 36.89% in the past year, while it has lost -10.38% so far this year. A look at the trailing 12-month EPS for IQ yields 0.13 with Next year EPS estimates of 0.43. For the next quarter, that number is 0.05. This implies an EPS growth rate of 98.00% for this year and 65.40% for next year. EPS is expected to decline by -1.10% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -15.90%.
Float and Shares Shorts:
At present, 957.79 million IQ shares are outstanding with a float of 521.12 million shares on hand for trading. On Aug 30, 2023, short shares totaled 53.47 million, which was 5.59% higher than short shares on Jul 30, 2023. In addition to Dr. Tim Gong Yu as the firm’s Founder, CEO & Director, Mr. Jun Wang serves as its Chief Financial Officer.
Through their ownership of 57.36% of IQ’s outstanding shares, institutional investors have majority control over the company.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, IQ reported revenue of $6.66B and operating income of $125.79M. The EBITDA in the recently reported quarter was $114.81M and diluted EPS was -$0.28.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for IQ since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With IQ analysts setting a high price target of $73.07 and a low target of $36.56, the average target price over the next 12 months is $54.45. Based on these targets, IQ could surge 1438.32% to reach the target high and rise by 669.68% to reach the target low. Reaching the average price target will result in a growth of 1046.32% 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.