GigaCloud Technology Inc (NASDAQ: GCT) has experienced a rise in its stock price by 2.26 compared to its previous closing price of 19.52. However, the company has seen a gain of 3.89% in its stock price over the last five trading days. businesswire.com reported 2025-01-17 that SAN JOSE, Calif.–(BUSINESS WIRE)– #450MHz–GCT Semiconductor Participates in Exclusive Aramco Digital and 450 MHz Alliance Event on Innovations in Private Networks.
Is It Worth Investing in GigaCloud Technology Inc (NASDAQ: GCT) Right Now?
GigaCloud Technology Inc (NASDAQ: GCT) has a higher price-to-earnings ratio of 6.30x compared to its average ratio, The 36-month beta value for GCT is at 1.92. Analysts have varying views on the stock, with 3 analysts rating it as a “buy,” 2 rating it as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for GCT is 27.38M, and currently, shorts hold a 20.85% of that float. The average trading volume for GCT on January 17, 2025 was 1.32M shares.
GCT’s Market Performance
GCT stock saw an increase of 3.89% in the past week, with a monthly gain of 0.04% and a quarterly increase of -18.77%. The volatility ratio for the week is 4.71%, and the volatility levels for the last 30 days are 5.84% for GigaCloud Technology Inc (GCT). The simple moving average for the past 20 days is 5.82% for GCT’s stock, with a -24.20% simple moving average for the past 200 days.
Analysts’ Opinion of GCT
Many brokerage firms have already submitted their reports for GCT stocks, with Lake Street repeating the rating for GCT by listing it as a “Buy.” The predicted price for GCT in the upcoming period, according to Lake Street is $50 based on the research report published on July 29, 2024 of the previous year 2024.
Maxim Group, on the other hand, stated in their research note that they expect to see GCT reach a price target of $69. The rating they have provided for GCT stocks is “Buy” according to the report published on May 22nd, 2024.
ROTH MKM gave a rating of “Buy” to GCT, setting the target price at $13 in the report published on June 16th of the previous year.
GCT Trading at -7.00% from the 50-Day Moving Average
After a stumble in the market that brought GCT to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -55.81% of loss for the given period.
Volatility was left at 5.84%, however, over the last 30 days, the volatility rate increased by 4.71%, as shares surge +2.27% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -11.25% lower at present.
During the last 5 trading sessions, GCT rose by +4.77%, which changed the moving average for the period of 200-days by -39.44% in comparison to the 20-day moving average, which settled at $18.88. In addition, GigaCloud Technology Inc saw 7.81% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GCT starting from Bernes Marshall, who purchase 5,000 shares at the price of $17.50 back on Dec 27 ’24. After this action, Bernes Marshall now owns 45,000 shares of GigaCloud Technology Inc, valued at $87,500 using the latest closing price.
WAN XIN, the Chief Technology Officer of GigaCloud Technology Inc, sale 466 shares at $20.00 during a trade that took place back on Dec 18 ’24, which means that WAN XIN is holding 0 shares at $9,320 based on the most recent closing price.
Stock Fundamentals for GCT
Current profitability levels for the company are sitting at:
- 0.13 for the present operating margin
- 0.26 for the gross margin
The net margin for GigaCloud Technology Inc stands at 0.12. The total capital return value is set at 0.17. Equity return is now at value 39.85, with 16.27 for asset returns.
Based on GigaCloud Technology Inc (GCT), the company’s capital structure generated 0.56 points at debt to capital in total, while cash flow to debt ratio is standing at 0.28. The debt to equity ratio resting at 1.26. The interest coverage ratio of the stock is 428.4.
Currently, EBITDA for the company is 119.79 million with net debt to EBITDA at 1.78. When we switch over and look at the enterprise to sales, we see a ratio of 1.0. The receivables turnover for the company is 17.75for trailing twelve months and the total asset turnover is 1.03. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.13.
Conclusion
In conclusion, GigaCloud Technology Inc (GCT) has had a mixed performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
