Dada Nexus Limited [DADA] Is Still Undervalued at $53.60

Over the past three months, Dada Nexus Limited [DADA] ended the trading day at $53.60 and exhibited a change of -4.98% with a 24 hour trading and reached upto the volume of 1.33M compared to its recorded trading volume of 2.44 million. DADA generated a 1 year amount change with N/A. Though for Principal markets a year is counted as a long time period. By having a look at the most recent performance of this stock, in the last week its amount moved by 11.67% with an amount shift of 66.36% over the last month.

On 30, November 2020, Dada Announces Proposed Follow-On Public Offering of American Depositary Shares. According to news published on Yahoo Finance, Dada Nexus Limited (“Dada” or the “Company”) (NASDAQ: DADA), China’s leading local on-demand delivery and retail platform, today announced that it intends to offer and sell 9,000,000 American Depositary Shares (“ADSs”), each representing four ordinary shares of the Company, subject to market and other conditions, in an underwritten public offering. The underwriters will have a 30-day option to purchase up to an aggregate of 1,350,000 additional ADSs from the Company.

Analyst Birdseye View:

The most recent analyst activity for Dada Nexus Limited [NASDAQ:DADA] stock was on October 30, 2020, when it was Initiated with a Buy rating from New Street, which also raised its 12-month price target on the stock to $40. Before that, on November 11, 2020, Goldman Recapitulated a Buy rating and elevated its amount target to $36. On October 27, 2020, Daiwa Securities Initiated a Buy rating. On October 05, 2020, Morgan Stanley Initiated an Overweight rating and increased its price target to $34. On June 30, 2020, Goldman Initiated a Neutral rating and increased its price target to $22.

In the past 52 weeks of trading, this stock has oscillated between a low of $14.60 and a peak of $61.27. Right now, according to Wall Street analyst the average 12-month amount target is $258.49. At the most recent market close, shares of Dada Nexus Limited [NASDAQ:DADA] were valued at $53.60. According to the average price forecast, investors can expect a potential return of 85.37%.

FUNDAMENTAL ANALYSIS

Dada Nexus Limited [NASDAQ:DADA] most recently reported quarterly sales of 188.12 billion, which represented growth of -32.00%. This publicly-traded organization’s revenue is $208,744 per employee, while its income is -$165,988 per employee. This company’s Gross Margin is currently 15.10%, its Operating Margin is -36.10%, its Pretax Margin is -54.16, and its Net Margin is -79.52.

Readers are usually of view to make a close observation to the indicators that support and make resistance before moving to any particular stock. As of now, the company’s stock is sitting at 50.82 points at 1st support level, the second support level is making up to 48.04. But as of 1st resistance point, this stock is sitting at 55.09 and at 56.59 for 2nd resistance point.

Dada Nexus Limited [DADA] reported its earnings at -$0.22 per share in the fiscal quarter closing of 9/29/2020. The Analysts for Wall Street were expecting to report its earnings at -$0.23/share signifying the difference of 0.01 and 4.30% surprise value. Comparing the previous quarter ending of 6/29/2020, the stated earnings were -$0.48 calling estimates for -$0.39/share with the difference of -0.09 depicting the surprise of -23.10%.

Important Ratio’s To Watch

Meanwhile, turning our focus to liquidity, the Current Ratio for Dada Nexus Limited [NASDAQ:DADA] is 2.80. Likewise, the Quick ratio is also the same, showing Cash ratio at 2.52.