Microvast Reports Earnings: Misses EPS Estimates by $0.01

Microvast (NASDAQ: MVST) announced its quarterly earnings on March 4, 2024, revealing an earnings per share (EPS) of $0.04. This figure fell short of analysts’ consensus estimates of $0.05 by $0.01, as reported by Zacks. Despite the earnings miss, the company reported revenue of $123.29 million for the quarter, surpassing the consensus estimate of $120.02 million.

The financial results indicate a return on equity of 10.32% coupled with a net margin of -26.82%. In light of its performance, Microvast updated its full-year 2025 guidance for EPS, suggesting adjustments in their financial strategy moving forward.

Stock Performance and Trading Activity

During trading hours on the day of the announcement, shares of Microvast increased by $0.05, closing at $4.98. The trading volume reached 7,350,799 shares, slightly below the average volume of 8,392,244 shares. The company’s current ratio stands at 0.83, with a quick ratio of 0.56 and a debt-to-equity ratio of 0.21. Over the past twelve months, Microvast has seen a low of $0.17 and a high of $7.12. The stock’s 50-day moving average is $4.35, while the 200-day moving average is $3.61. The company currently has a market capitalization of approximately $1.62 billion, a PE ratio of -9.76, and a beta of 3.27.

Institutional Holdings Update

Recent changes in institutional ownership reflect growing interest in Microvast. Vanguard Group Inc. increased its holdings by 14.6% during the third quarter, now owning 12,010,655 shares valued at $46.24 million after acquiring an additional 1,533,708 shares. Millennium Management LLC more than doubled its position in the first quarter, owning 4,646,060 shares worth $5.44 million following a purchase of 2,341,637 shares.

Bank of America Corp DE also significantly increased its stake by 349.0% in the second quarter, bringing its total to 1,636,970 shares valued at $5.94 million after adding 1,272,420 shares. Additionally, Goldman Sachs Group Inc. raised its stake by 158.9% in the same quarter, now holding 1,606,896 shares valued at $1.88 million. Marshall Wace LLP also increased its ownership by 20.4%, owning 1,352,527 shares valued at $4.91 million after acquiring an additional 229,518 shares. Currently, institutional investors and hedge funds own approximately 20.72% of Microvast’s stock.

Microvast Holdings, Inc. specializes in battery technologies for electric vehicles and energy storage solutions. The company offers a variety of cell chemistries, including lithium titanate oxide, lithium iron phosphate, and nickel manganese cobalt versions. It also designs, develops, and manufactures critical battery components such as cathodes, anodes, electrolytes, and separators.

As Microvast continues to navigate the competitive landscape of battery technology, investors and analysts will be closely monitoring its strategic adjustments and future performance metrics.