Shares of the Puxin Limited (NEW) stock were gloomy in the current market trading session today on December 30, 2021. NEW stock price saw a downtrend of 24.35% to drop at $0.40 a share at the time of this writing. The trading volume was 4,008,018, lower than the average trading volume on the last check. Let’s understand the current bearish sentiment of this stock.

What’s Happening?

NEW stock was bullish in the previous trading session after the company announced second-quarter 2021 financial results. It seems that the profit takers have stepped in after the previous surge due to which NEW stock became bearish today. Let’s have a look at recently announced second-quarter unaudited financial results.

Second Quarter 2021 Financial Results of NEW stock:

• According to the financial results, the company generated RMB674.1 million in revenue in the recently reported quarter. This represents an increase of 12.2% from RMB601.1 million in the same quarter of last year. The revenue for the first six months of the company was RMB1,360.9 million.
• The cost of revenues of the company was RMB376.2 million in the recently reported quarter. This represents an increase of 13.5% from the same period of the previous year.
• Gross profit of Puxin was RMB298.0 million in the second quarter of 2021, 10.5% higher than the same quarter of last year.
• Puxin Limited spent RMB1,660.0 million in operating expenses in the second quarter of 2021. These expenses significantly increased as compared to RMB299.6 million in the same tenure of the previous year.
• In the second quarter of 2021, the company suffered an operating loss of RMB1,362.0 million as compared to RMB29.9 million in the same quarter of last year. Operating loss for the first six months of 2021 was RMB1,355.5 million.
• Net loss attributable to NEW stock was RMB1,378.0 million as compared to RMB36.6 million net loss in the same tenure of the previous year.
• The adjusted net loss was RMB1,400.2 million in the second quarter of 2021. This compares to an adjusted net loss of RMB45.2 million in the same tenure of the previous year.
• Adjusted EBITDA in the recently reported quarter was RMB (1,368.3) million while this was RMB80.4 million in the same quarter of last year.

Wrap Up:

NEW stock declined today after getting positive momentum in the previous trade after the release of second-quarter 2021 financial results.  The per-share price in 2021 is not so much satisfactory as this stock lost 93% year to date.