Stock Groups

Is a Good Chinese E-Commerce Stock to Buy? -Breaking


© Reuters. Is it a great Chinese E-Commerce stock to buy?

After beating the Street’s estimates of revenues and earnings for its third quarter, Chinese ecommerce firm received several price target upgrade from analysts. The company reported results on November 18th. But can the stock live up to analysts’ expectations given the overall weakness in the company’ financials? Let’s find, Inc. (JD) is one of China’s two largest B2C online retailers by trading volume and revenue. This Beijing-based business was placed at #59 on the Fortune Global 500 List, which was published on August 2, 2021. That’s an increase of 43 places over last year. In addition, the stock has gained 5.6% in price over the past month to close yesterday’s trading session at $87.71. JD also saw a rise in analyst price targets following the release of better-than-expected results for its third quarter on November 18.

JD’s shares may have also gained because the company did not provide guidance in its latest earnings report, while its competitor, Alibaba (NYSE:) Group Holding Limited, (BABA), gave weaker than expected guidance for fiscal 2022.

This month, JD was fined by China’s State Administration for Market Regulation for “failing to declare illegal implementation of operating concentration.” Also, JD warned that slowing consumption amid higher input costs could hurt business in the second half of its fiscal year. The near-term outlook for JD is grim.

Continue reading on StockNews

Disclaimer: Fusion MediaWe remind you that this site does not contain accurate or real-time data. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by exchanges. They are instead provided by market makers. As such, the prices might not reflect market values and could be incorrect. Fusion Media is not responsible for trading losses that may be incurred as a consequence of the use of this data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. You should be aware of all the potential risks and expenses associated with trading in the financial market. It is among the most dangerous investment types.