what is going on with jd stock

Supply chain disruptions, cybersecurity threats, and changing consumer preferences pose potential risks. JD.com must manage these risks effectively through proactive strategies and adaptability to market dynamics. JD.com’s target market primarily includes consumers worldwide who prefer online shopping for a wide range of products, from electronics to fashion, groceries, and healthcare items. The company aims to cater to the diverse needs of its customers by offering a vast selection of products from local and international brands. Additionally, the company declared annual cash dividend of $0.38 per share or $0.76 per ADS, payable on April 23 for ordinary shareholders and on April 29 for ADS holders. In pre-market activity, JD shares are trading at $23.70, up 10.54% on the Nasdaq.

what is going on with jd stock

The world’s No. 2 economy officially reported that gross domestic product (GDP) grew 5.2% in 2023, and slowed to 4.1% in the fourth quarter. While those numbers reflect faster growth than most of the rest of the world, they represent https://www.forex-world.net/ a clear slowdown for China, and confirm the negative sentiment around the country. Other indicators also show weakness, including factory production, and most economists believe China is entering a period of secular slowing growth.

Earnings and Valuation

The stock should eventually hit a bottom, but it’s likely to fall further if more downbeat economic news on China comes out. It’s continued to fall in 2024 as its partner Dada Nexus revealed accounting inaccuracies, and investors seem increasingly fearful that its rapid growth from before the pandemic will never return. Additionally, the company has been losing market share to Pinduoduo parent PDD Holdings. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. If revenue growth accelerates, the stock should improve, but that won’t be easy in the current Chinese e-commerce environment. JD.com saw a increase in short interest during the month of February.

what is going on with jd stock

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. (RTTNews) – JD.com, Inc. (JD), a provider of supply chain-based technologies and services, Wednesday reported higher earnings and revenue for the fourth quarter compared to the same period last year. JD.com doesn’t give guidance, but the stock seemed to be trading near rock bottom before this morning’s earnings report. It’s been challenged by intensifying competition from PDD Holdings’ Pinduoduo, and it’s adapting by selling lower-priced goods and offering more discounts. There’s still potential for a recovery, but investors would certainly like to see revenue growth improve to much better than 3.6%.

Why JD.com Stock Was Climbing Today

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  1. On average, 17 analysts polled by Thomson Reuters expect earnings of $0.63 per share for the quarter.
  2. This suggests a possible upside of 65.3% from the stock’s current price.
  3. JD.com, Inc., also known as Jingdong and Joybuy, is a Chinese e-commerce company headquartered in Beijing.
  4. As of February 15th, there was short interest totaling 29,940,000 shares, an increase of 11.1% from the January 31st total of 26,960,000 shares.

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. Separately, Mizuho lowered its price target on JD.com stock from $40 to $35, though it maintained a buy rating on the stock. The firm cited a “meaningful divergence of consumer confidence levels” in the U.S. and China internet sectors. It also advised investors to “play defense” in China as it expects consumer spending to remain down. On the bottom line, the company per-share profit jumped by 51.5% to $0.74, ahead of the consensus at $0.66. Amidst multiple years of market losses in China, geopolitical tensions, and a prolonged property crisis, some U.S. asset managers remain undeterred, seeing potential in Chinese stocks.

JD.com May Bid for This Retail Group. Why It Went Shopping Outside China.

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. JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company.

As of February 15th, there was short interest totaling 29,940,000 shares, an increase of 11.1% from the January 31st total of 26,960,000 shares. Based on an average daily trading volume, of 13,840,000 shares, the days-to-cover ratio is currently 2.2 days. MarketBeat has just released its list of 20 stocks that Wall Street analysts hate. These companies may appear to have good fundamentals, but top analysts smell something seriously rotten. 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.

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… Since then, JD shares have decreased by 17.0% and is now trading at $23.98. On average, 17 analysts polled by Thomson Reuters expect earnings of $0.63 per share for the quarter. JD.com is solidly profitable, but revenue only grew 1.5% in its most recent report.

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. In its second-quarter earnings report, JD.com reported continued sluggishness, and the stock fell 3% on the news even as it topped estimates. Shares of JD.com (JD -3.75%) were moving higher today https://www.day-trading.info/ after the Chinese e-commerce company delivered better-than-expected results in its fourth-quarter earnings report. 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.

Sign-up to receive the latest news and ratings for JD.com and its competitors with MarketBeat’s FREE daily newsletter. Quarterly earnings increased 11.8 percent to RMB 3.4 billion or $0.5 billion from RMB 3.0 billion or $0.4 billion in the last year.

Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Thursday

Moreover, JD.com’s net profit margin substantially improved, reflecting better operational efficiency and profitability. The company’s robust EBITDA growth indicates its ability to generate significant earnings before accounting for interest, taxes, depreciation, and amortization. 15 Wall Street analysts have issued “buy,” “hold,” and “sell” ratings for JD.com in the last twelve months. There are currently 7 hold ratings and 8 buy ratings for the stock. The consensus among Wall Street analysts is that investors should “moderate buy” JD shares. JD.com operates in the highly competitive e-commerce industry, which has experienced rapid growth in recent years.

JD said revenue in the quarter rose 7.6% to $39.7 billion, ahead of expectations at $38.7 billion, with strong growth from the services segment, where revenue was up 30.1% to $7.5 billion. 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. Valuations in the Chinese stock market are collapsing in the new year, heaping more pressure on shares of some of the most respectable companies trading in the world’s second-largest economy.

Investors of record on Thursday, April 6th will be given a dividend of $0.62 per share on Thursday, May 4th. Further, the company may repurchase up to $3.0 billion of its shares over the next 36 months through March 2027, following the expiry of its existing buyback program on March 17. Following this news, JD shares jumped around 11 percent in premarket activity. 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. Chinese stocks surged on Tuesday amid reports of mooted stimulus plans and a sign that tough draft tech rules could be eased.

JD.com NewsMORE

Farzin Azarm of Mizuho Americas says money has been sticking with U.S. tech and artificial intelligence related stocks given their continuous climb; but when these trades unwind, cheaper valuation com… Chinese stocks have bounced higher amid a flurry of signals of government support. In 2023, JD.com’s revenue was 1.08 trillion, an increase of 3.67% compared to the previous year’s 1.05 trillion.