DAQO New Energy (NYSE:DQ) Posts Quarterly Earnings Results, Misses Estimates By $0.07 EPS

by · The Markets Daily

DAQO New Energy (NYSE:DQ – Get Free Report) posted its quarterly earnings results on Thursday. The semiconductor company reported ($0.11) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.04) by ($0.07), Zacks reports. The firm had revenue of $221.71 million during the quarter, compared to the consensus estimate of $276.94 million. DAQO New Energy had a negative net margin of 53.74% and a negative return on equity of 5.89%.

Here are the key takeaways from DAQO New Energy’s conference call:

  • Q4/2025 showed a financial turnaround with positive EBITDA of $1.7 million, a narrowed net loss attributable to shareholders of $170.5 million, and the company reporting positive operating cash flow for 2025 (company cited roughly $56–66 million).
  • Unit costs improved materially — Q4 record low cash cost of $4.46/kg and total production cost of $5.83/kg — and management expects similar Q1/Q2 levels with further reductions in H2 2026.
  • Balance sheet strength: the company reported $980 million in cash plus short-term investments, notes and deposits totaling about $2.27 billion of highly liquid assets and no debt, giving strategic flexibility.
  • Regulatory and market outlook remains a key driver and uncertainty — China’s “anti-involution” policies, new pricing/energy standards and industry consolidation (SPV activity) aim to curb below-cost selling and excess capacity; management expects a price floor near RMB 53–54/kg and 2026 production guidance of 140,000–170,000 MT, but implementation is multi-year and outcomes are uncertain.

DAQO New Energy Stock Down 5.5%

Shares of DQ traded down $1.37 during trading hours on Thursday, reaching $23.73. The stock had a trading volume of 1,068,504 shares, compared to its average volume of 617,083. The company has a market cap of $1.59 billion, a P/E ratio of -4.62 and a beta of 0.70. DAQO New Energy has a 52 week low of $12.40 and a 52 week high of $36.59. The firm has a 50-day moving average of $26.62 and a 200 day moving average of $27.82.

Analyst Ratings Changes

A number of research firms recently weighed in on DQ. Glj Research downgraded shares of DAQO New Energy from a “buy” rating to a “sell” rating and dropped their price target for the stock from $30.51 to $18.13 in a research note on Tuesday, February 3rd. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of DAQO New Energy in a report on Monday, December 29th. New Street Research set a $18.13 target price on shares of DAQO New Energy in a research report on Tuesday, February 3rd. The Goldman Sachs Group set a $18.30 price target on DAQO New Energy and gave the stock a “neutral” rating in a research report on Wednesday, October 29th. Finally, Wall Street Zen upgraded DAQO New Energy from a “sell” rating to a “hold” rating in a report on Monday, November 3rd. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, two have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $25.43.

Check Out Our Latest Report on DQ

Institutional Investors Weigh In On DAQO New Energy

A number of hedge funds have recently modified their holdings of the business. Vanguard Group Inc. grew its position in shares of DAQO New Energy by 0.3% in the 3rd quarter. Vanguard Group Inc. now owns 1,738,788 shares of the semiconductor company’s stock valued at $48,912,000 after purchasing an additional 5,448 shares during the period. Invesco Ltd. lifted its stake in DAQO New Energy by 22.6% in the fourth quarter. Invesco Ltd. now owns 1,429,565 shares of the semiconductor company’s stock valued at $42,172,000 after buying an additional 263,614 shares in the last quarter. Mackenzie Financial Corp lifted its stake in DAQO New Energy by 9.1% in the fourth quarter. Mackenzie Financial Corp now owns 1,316,140 shares of the semiconductor company’s stock valued at $38,934,000 after buying an additional 110,186 shares in the last quarter. Goldman Sachs Group Inc. boosted its holdings in shares of DAQO New Energy by 117.2% in the first quarter. Goldman Sachs Group Inc. now owns 1,159,835 shares of the semiconductor company’s stock valued at $21,005,000 after buying an additional 625,900 shares during the period. Finally, Arrowstreet Capital Limited Partnership bought a new stake in shares of DAQO New Energy during the third quarter worth $18,280,000. Institutional investors and hedge funds own 47.22% of the company’s stock.

DAQO New Energy Company Profile

(Get Free Report)

DAQO New Energy Corp. operates as a leading manufacturer of high-purity polysilicon and monocrystalline silicon wafers for the global solar photovoltaic industry. The company focuses on serving module makers and integrated solar producers with critical upstream materials, applying proprietary technologies and optimized processes to achieve high product purity and consistently low production costs. Its core offerings include solar-grade polysilicon—used in the ingot casting and wafer slicing stages—and premium mono-silicon wafers, which are a key input for high-efficiency solar cell production.

Founded in the late 2000s and listed on the New York Stock Exchange in 2010, DAQO New Energy established its first polysilicon facility in China’s Xinjiang Uygur Autonomous Region.

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