VNET Group (VNET) shares plummeted 5.40% in pre-market trading on Thursday, signaling investor concern ahead of the company's upcoming first-quarter earnings report. The significant drop suggests that market participants may be positioning themselves cautiously before the official release of the financial results.

According to the latest earnings calendar, VNET Group is scheduled to report its first-quarter earnings on Wednesday before the market opens. Analysts are expecting the company to post an earnings per share (EPS) of -$0.02 for the quarter, indicating a potential loss for the period.

The sharp decline in VNET's stock price could be attributed to several factors. Investors might be reacting to the anticipated negative EPS, concerns about the company's performance in a challenging economic environment, or potential headwinds in the Chinese technology sector. As the earnings report approaches, market participants seem to be adjusting their positions, leading to increased selling pressure on the stock.