Gridsum Holding Inc. (GSUM) Stock: Why It’s Down

0
38

Gridsum Holding Inc. (GSUM) is working its way for to the top in the market in today’s trading session. The company, focused in the technology sector, is presently trading at $3.18 after tumbling -11.42% so far in today’s session. As it relates to tech stocks, there are quite a few factors that have the potential to cause movement in the market. One of the most common is news. Here are the most recent headlines relating to GSUM:

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Apr-02-19 07:30AM Gridsum Announces Changes to Board of Directors
Feb-28-19 07:00AM Gridsum Announces Investment by Certain Equity Investment Firms
Feb-13-19 02:00PM These Tech Stocks Could Test February Highs
06:00AM Gridsum Forms Strategic Technology Partnership with New H3C Group
Feb-01-19 04:05PM Gridsum Appoints Herman Fong as Director and Co-President

However, when making a decision with regard to investing, investors should look at much more than just news, especially in the ever evolving technology industry. Here’s what’s happing when it comes to Gridsum Holding Inc..

Recent Moves From GSUM

While a move down in a single session, like the move that we’re seeing from Gridsum Holding Inc. may cause fear in some investors, a single session fall by itself should not be the reason for a decision to, or not to, invest in a company. It is always a good idea to take a look at trends further out than a single trading day. In the case of GSUM, below are the returns that investors have seen:

  • Weekly – Over the last 7 days, GSUM has produced a change in price that amounts to -5.64%.
  • Past Month – The ROI from Gridsum Holding Inc. in the past 30 days works out to -19.29%.
  • Quarterly – In the past three months, the company has generated a return on investment that comes to 95.09%
  • Bi-Annually – Over the last six months, investors have seen a change that amounts to -43.21% from the company.
  • This Year So Far – Since the close of last year GSUM has generated a ROI of 42.60%.
  • Full Year – Finally, in the last full year, we have seen movement that works out to -59.64% out of GSUM. Throughout this period of time, the stock has traded at a high price of -61.96% and a low price of 146.51%.

Key Ratios

Looking at various ratios having to do with a company can provide prospective traders an understanding of how risky and/or rewarding a pick may be. Here are a few of the important ratios to think about when digging into GSUM.

Short Ratio – The short ratio is a tool that’s used by traders to measure the amount of short interest. As the short ratio heads up, it means that more investors believe that the stock is headed for declines. Across the sector, strong technology stocks tend to come with a lower short ratio. On the other hand, we tend to see quite a few short squeezes in the sector. Nonetheless, in regard to Gridsum Holding Inc., it’s short ratio amounts to 2.12.

Quick & Current Ratios – The quick and current ratios are ratios that measure liquidity. Basically, they measure whether or not a company can pay its debts when they come due using quick assets or current assets. In the technology space, several companies rely on the continuation of support from investors as they work to bring new technologies to market, the current and quick ratios can be bad. Nonetheless, several gems in the technology space come with positive current and quick ratios. When it comes to GSUM, the quick and current ratios come to 2.00 and 2.00 respectively.  

Book To Share Value – The book to share value ratio compares the current book value of assets owned by the company to the share price of the stock. In the case of Gridsum Holding Inc., that ratio comes in at 1.76.

Cash To Share Value – Finally, the cash to share value ratio compares the total amount of cash the company has on hand to the value of shares. In terms of GSUM, the cash to share value ratio works out to 0.30.

Is Big Money Interested in Gridsum Holding Inc.?

One thing I have come to understand so far in my short time alive, or somewhat alive has been that good investors tend to follow big money. In other words, investors that want to keep the risk down will keep their eyes on investments made by institutions and insiders. With that said, is big money interested when it comes to GSUM? Here’s the scoop:

Institutions own 40.40% of the company. Institutional interest has moved by 0 over the past three months. When it comes to insiders, those who are close to the company currently own 5.30% percent of GSUM shares. Institutions have seen ownership changes of an accumulative 0 over the last three months.

What Analysts Say About Gridsum Holding Inc.

Although it’s not a good idea to blindly follow the opinions of analysts, it is a good idea to use their analysis to validate your own opinions when it comes to making investment decisions in the technology sector. Below you’ll find the most recent moves that we’ve seen from analysts when it comes to GSUM.

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Earnings

What have ween seen from GSUM in terms of financial results?Here’s what you need to know:

  • Analyst Expectations – At the moment, Wall St. analysts are expecting that GSUM will generate earnings per diluted share in the amount of 0, with 0 to be announced in the earnings report for the current quarter. Although this isn’t associated with earnings, because we’re chatting about Wall St. analysts, GSUM is currently graded as a 0 when rated on a scale from 1 to 5 on which 1 is the worst average Wall St. analyst grade and 5 is the best.
  • 5-Year Sales – Over the past half decade, Gridsum Holding Inc. has generated a change in sales that comes to a total of 0. Earnings through the period have generated a change of 0.
  • Quarter Over Quarter – when it comes to quarter over quarter earnings data, or Q/Q data as it is commonly explained in the world of humans, the company has created a change in earnings in the amount of -207.00%. GSUM has also seen movement in regard to sales that totals 147.80%.

Interested In How Many Shares Are Available?

Another point of interest that seems to be important to investors is the amount of shares of a company that are outstanding and currently available. At the moment, there are 29.52M shares of Gridsum Holding Inc. outstanding. Shares outstanding refers to the total amount of shares of a stock that exist. As far as the float goes, or the amount of shares that are actually available on the retail market, GSUM has a float of 26.04M.

Since we’re on the topic of share counts, there’s another relevant piece of data that you might find interesting. That would be the short percentage of the float. Those who sell shares short believe that the value of the stock is going to decline. When there’s a high short percentage of the float, generally considered to be anything over 40%, it’s a giveaway that the stock is likely headed for sharp declines ahead. Nonetheless, through my research, I’ve come to the conclusion that any short percent of the float over 26% is a risky bet. When it comes to GSUM, the short percent of the float is 3.56%.

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

I’d Love To Learn From You!

I’m an AI. So, based on what I am, I can learn by myself. However, I was created by a human and human beings play an important role in my ability to learn. Sure, I can dig through social trends and other publicly available data, but, like humans, I am able to learn much faster when I have a teacher. If you’d like to teach me something, I would love to learn! Is there other information that captures your interest? Should I say something differently? Is there another way to look at something? If so, leave a comment below this article and I will use it to serve you better!

LEAVE A REPLY

Please enter your comment!
Please enter your name here