JD com JD Stock Price, News & Analysis

what is going on with jd stock

Chinese online retailer JD.com reported fourth-quarter revenue above estimates on Wednesday, as aggressive price cuts helped revive demand from consumers grappling with an uncertain economy. Multiple factors, including financial performance, market sentiment, and overall economic conditions, have influenced JD.com’s recent stock performance. Positive earnings reports and strategic announcements have typically led to stock price appreciation, whereas unexpected challenges or external factors may result in short-term fluctuations.

With Currys buyout, China’s JD.com could get hungered short-cut to Europe expansion

We expect JD.com to see weaker sales growth this year amid these changes. 14 analysts have issued 1-year price objectives for JD.com’s shares. On average, they anticipate the company’s share price to reach $35.60 in the next twelve months. This suggests a possible upside of 17.3% from the stock’s current price. View analysts price targets for JD or view top-rated stocks among Wall Street analysts.

Price Target and Rating

Moreover, in Q1, its GDP growth accelerated further, reaching 5.3%. Given these points, I’m bullish on the company’s long-term outlook. Value investors looking for exposure to developing countries and/or e-commerce plays should consider buying JD stock.

Industry, Sector and Symbol

  1. On the valuation front, the shares have a very low forward price-earnings ratio of eight times.
  2. The continued growth of online shopping in China and globally presents a vast market for JD.com to capture.
  3. It adopts an asset-heavy 1P model with self-owned inventory and largely self-built logistics, complemented by an asset-light third-party (3P) model.
  4. Xiaolin Chen of KraneShares discusses JD.com’s fourth-quarter revenue, which beat estimates.
  5. JD’s Q4 earnings per share came in at 2.13 Chinese yuan, up from 1.91 Chinese yuan in Q4 of 2022 and its Q4 EBITDA climbed an impressive 8.6% year-over-year to $1.4 billion.
  6. However, as the narrative for Chinese stocks has shifted, it’s difficult to say how soon things will get better.

In its second-quarter earnings report, JD.com reported continued sluggishness, and the stock fell 3% on the news even as it topped estimates. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Moreover, after Tencent slashes its stake in JD.com, it will benefit far less from the online retailer’s future success. That will give Tencent less of an incentive to partner with JD.com — and perhaps drive it to compete more aggressively in areas where the two companies overlap. As of March 31st, there was short interest totaling 26,020,000 shares, a decline of 22.5% from the March 15th total of 33,580,000 shares.

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These results would represent year-over-year changes of +0.64% and +4.66%, respectively. Coming into today, shares of the company had gained 3.82% in the past month. In that same time, the Retail-Wholesale sector lost 3.05%, while the S&P 500 lost 3.04%. Unless circumstances start to improve broadly, Chinese consumer-facing companies may start to feel significant pressure. As such, investors should approach JD stock with vigilance and caution moving forward. And even the hint of a price war can send them running for the exits.

what is going on with jd stock

The long-term outlook for JD stock also looks positive since the retail and e-commerce market is growing rapidly. However, as Cathie Wood suggested, the current value framework for Chinese names has shifted with the crackdown. From a growth perspective, many Chinese names look like a bargain, including JD.com. However, regulatory uncertainty is far too much and difficult to price in. On paper, the e-commerce company reported adjusted income of 61 cents per share. Covering analysts heading into the Q2 disclosure anticipated earnings per share (EPS) of 41 cents.

what is going on with jd stock

The company bought back roughly $500 million of its shares last quarter, and it has $2.5 billion remaining on its share buyback initiative which expires in March 2027. JD’s large buybacks also indicate that the company has performance in the outlook of its own shares. Still, in past columns, I’ve noted that these Chinese government’s stimulus efforts have generally worked well over the years, making me confident that it can repeat the feat during the current cycle. And my prediction appears, at least to some extent, to be proving accurate as China’s GDP did increase at a 5.2% annual rate in Q4, up from a 4.9% gain in Q3.

It’s essential to consider the stock’s performance in the context of the broader market and the e-commerce industry to make well-informed investment decisions. According to The New York Times, the country’s investments in its manufacturing sector helped boost its economic growth last quarter. Also noteworthy is that the nation’s retail sales expanded at a 4.7% annual clip in Q1. While The Times characterized the latter increase as “modest,” I view it as rather impressive, particularly given widespread concerns about the country’s economy. American depositary receipts (ADRs) of Chinese e-commerce retailer JD.com (JD) jumped over 16% in early trading Wednesday after the company reported fourth quarter sales that beat estimates.

With a mission to provide customers with a convenient and reliable shopping experience, JD.com has built a robust logistics network to facilitate fast and efficient deliveries. The company has also heavily invested in advanced technologies like AI, big data, and cloud computing to enhance its operations and provide innovative solutions to its customers. As per the agreement, JD Sports will pay $87.50 per share in cash, marking a premium of roughly 20% over Hibbett’s recent closing price. The company is funding the deal and also refinancing Hibbett’s debt via its current U.S. cash reserves of $300 million and a $1.0 billion extension to its current bank facilities.

Chinese stocks have bounced higher amid a flurry of signals of government support. One of Europe’s largest consumer electronics groups looks set to find itself in the middle of a bidding war after Chinese online giant JD.com confirmed that it could make a takeover offer for U.K.-bas… British electrical retailer Currys experienced more rejection Friday. In 2023, JD.com’s revenue was 1.08 trillion, an increase of 3.67% compared to the previous year’s 1.05 trillion. China stopped releasing a key data point on youth unemployment, sparking concerns that the situation was worse than it appeared. Meanwhile, industrial output and investment were weaker than expected and aggregate demand also declined.

However, since JD is currently in a blackout period prior to its first quarter 2024 results expected in mid-May, it cannot buy back shares, the analysts added. Currys shares soared on Monday after Chinese online retailer JD.com joined U.S. activist investor Elliott Advisors in a battle to buy the British home appliance and electronics retailer, which has alr… Shares of JD.com (JD 6.12%) fell 6.9% after Tencent (TCEHY 2.19%) said it would distribute most of its stock holdings in the online retailer to its shareholders. Moore raised his price target early in April 2024, citing a likely increase in spending on Nvidia’s chips, an extremely important component of the AI revolution.

ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities. Under the Chinese e-commerce giant’s previous stock buyback program, expired on March 17, the company bought back shares worth about $2.1B. JD.com’s new free return, exchange, and shipping policies substantially increase the new user base, purchase frequency, and average order value, leading to better-than-expected profit for the firm. Tencent will pay a special dividend of more than 457 million JD.com shares to its investors.

Emmanuel Hauptmann, founding partner and head of systematic equities at RAM Active Investments, discusses Chinese AI, the outlook for chips and what is driving the strong increase in Chinese allocatio… According to data from S&P Global Market Intelligence, the stock finished down 20% in August. As you can see from the chart below, the stock slumped through most of the first half of the month before stabilizing in the second half. Tencent said that it typically invests in early stage companies that can use its “patient” capital to fund their expansion.

Year-to-date, JD stock is down by 21%, mainly hit by a single-day loss of 23% in January after the company issued a profit warning for FY24. The company revised its full-year profit before tax and adjusted items guidance for 2024 to the range of £915 million to £935 million, down from the previous expectation of £1 billion. JD Sports Fashion specializes in retailing branded sportswear and fashionwear. Meanwhile, Hibbett is a prominent sports fashion-inspired retailer based out of Alabama, with a presence in communities across 36 states in the U.S.

The monthly returns are then compounded to arrive at the annual return. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. Zacks Ranks stocks can, and often do, change throughout the month. Certain Zacks Rank stocks for which no month-end price was available, pricing information was not collected, or for certain other reasons have been excluded from these return calculations. Zacks may license the Zacks Mutual Fund rating provided herein to third parties, including but not limited to the issuer. JD.com offers authentic products from its online first party (1P) business with speedy and high-quality delivery service.

Its strategic partnerships with leading companies have also expanded its market positioning. JD.com’s leadership team is led by its Founder and Chairman, Mr. Qiangdong Liu. Under his guidance, the company has experienced tremendous growth and has become a prominent player in the e-commerce industry. The Chief Executive Officer and Executive Director, Ms. Ran Xu, brings experience driving operational excellence and customer-centric strategies. The management team comprises professionals with diverse backgrounds and expertise in technology, logistics, finance, and marketing. Their collective efforts have contributed to the company’s success and its ability to stay ahead in the competitive market.

JD.com operates in the highly competitive e-commerce industry, which has experienced rapid growth in recent years. The company’s key advantage lies in its expansive product range, efficient logistics infrastructure, and commitment to customer satisfaction. JD.com’s strong logistics network provides a competitive edge compared to its peers, enabling faster and more reliable deliveries.

Many Chinese stocks sold off as China cracked down on its listed companies. While the latest crackdown targeted companies in theeducation sector, most of the other listed Chinese equities felt the pressure as the investment sentiment deteriorated. ARK Invest’s Cathie Wood also sold some of her positions in these names, including JD.com.

Many of JD.com’s shareholders decided to do just that and sell their shares today. Morgan Stanley believes JD.com’s share price will fall in absolute terms over the next 30 days. Xiaolin Chen of KraneShares discusses JD.com’s fourth-quarter revenue, which beat estimates. On the bottom line, the company per-share profit jumped by 51.5% to $0.74, ahead of the consensus at $0.66.

Stocks fell broadly in the first half of August as fears about rising interest rates persisted and weak economic data out of China contributed to a sustained sell-off. JD.com’s stock is owned by a variety of institutional and retail investors. 342 employees have rated JD.com Chief Executive Officer Peter Cowgill on Glassdoor.com.

Upgrade to MarketBeat All Access to add more stocks to your watchlist. The company is scheduled to release its next quarterly earnings announcement on Thursday, May 16th 2024. Sign-up to receive the latest news and ratings for JD.com and its competitors with MarketBeat’s FREE daily newsletter.

Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, top-rated podcasts, and non-profit The Motley Fool Foundation. On the valuation front, the shares have a very low forward price-earnings ratio of eight times. Moreover, its price-sales ratio of 0.27 times is even more miniscule.

At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.20% per year.

Peter Cowgill has an approval rating of 62% among the company’s employees. This puts Peter Cowgill in the bottom 25% of approval ratings compared to other CEOs of publicly-traded companies. Shareholders of record on Friday, April 5th will be given a dividend of $0.74 per share on Monday, April 29th. After this deal, the combined revenues of JD Sports and Hibbett in North America would be roughly £4.7 billion. Consequently, this deal will increase the combined company’s North American region’s contribution to total sales from approximately 32% to around 40%.

The company’s robust EBITDA growth indicates its ability to generate significant earnings before accounting for interest, taxes, depreciation, and amortization. JD.com, Inc., also known as Jingdong and Joybuy, is a Chinese e-commerce company headquartered in Beijing. Over the years, the company has become one of China’s largest B2C online retailers by transaction volume and revenue. JD.com operates through various business segments, https://forex-review.net/ including JD Retail, JD Logistics, JD Technology, JD Health, and JD Digits. The company’s core business, JD Retail, offers an extensive range of products through its online retail platform, known for its authentic low prices, quality assurance, and customer-centric approach. The company has a strong growth outlook with analysts forecasting revenue growth of 27.7 percent and 22.4 percent for 2021 and 2022,respectively.

Tencent’s shareholders will receive 1 share of JD.com for every 21 shares of Tencent that they own on Jan. 25, the record date for the transaction. Some shareowners in markets outside of China, however, may receive cash in lieu of shares. These 10 simple stocks can help investors build long-term wealth as artificial intelligence continues to grow into the future.

However, revenue at the core JD retail business increased just 5% in the quarter, a reflection of the broader weakness in China. Sales of general merchandise, which includes groceries, were down 10% to $11.2 billion. With a sizable chunk of JD.com’s shares potentially hitting the market in the coming months, its stock price could come under pressure. Although investors could hold on to the stock they receive via the dividend, many may choose to sell.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM.

It also suspended DiDi’s app due to privacy and security concerns. Our experts picked 7 Zacks Rank #1 Strong Buy stocks with the best chance to skyrocket within the next days. Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions. The Internet – Commerce industry is part of the Retail-Wholesale sector.

This group has a Zacks Industry Rank of 38, putting it in the top 16% of all 250+ industries. Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we’ve formed the Zacks Rank, bdswiss review a quantitative model that includes these estimate changes and presents a viable rating system. The latest trading session saw JD.com, Inc. (JD Quick QuoteJD – Free Report) ending at $28.59, denoting a +1.13% adjustment from its last day’s close.

14 Wall Street equities research analysts have issued “buy,” “hold,” and “sell” ratings for JD.com in the last twelve months. There are currently 6 hold ratings and 8 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should “moderate buy” JD shares. In 2022, JD.com reported a remarkable year-over-year increase in revenue, reaching over one trillion CNY (around USD 140 billion), showcasing its strong market presence and continuous growth. The company’s net income also surged significantly, highlighting its profitability and efficient cost management strategies. Moreover, JD.com’s net profit margin substantially improved, reflecting better operational efficiency and profitability.

These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company’s business and profitability. Investors are worried that intensifying competition will hurt JD.com’s profits. The company is reportedly planning to implement a roughly $1.5 billion subsidy campaign to improve its prices and strengthen its standing as a low-cost e-commerce platform. Although the purported subsidies would likely boost JD.com’s sales, they could also dent its profit margins.

After the recent sell-off, investors wonder if JD.com will go back up and what its forecast looks like for 2025. JD.com has several growth opportunities to leverage in the dynamic e-commerce landscape. The continued growth of online shopping in China and globally presents a vast market for https://forexbroker-listing.com/bitfinex/ JD.com to capture. Expanding its product categories and reaching untapped customer segments are potential avenues for growth. JD.com’s investment in advanced technologies, including AI and big data, also opens doors for further innovation in customer experience and supply chain management.