JD.com (JD); 9618 HK

[winston]

vested

JD.com (9618 HK / JD US) - Looking forward to more growth ahead

We are positive on JD.com's (JD) business franchise and long-term strategy of focusing on the customer experience, by investing in its logistics network, balancing growth and profitability by directing resources to targeted segments, and enhancing its brand perception.

With its latest round of business restructuring, JD should be able to sustain consistent margin improvements and strong growth in earnings.

Despite near-term concerns on weak sales, we remain positive on JD in the long-term as its growth rates should continue to remain above peers on multiple drivers – economic recovery, cost optimisation efforts, growing sources of revenue and earnings from increased marketplace, advertising and logistics services from third party (3P) merchants. BUY.

Source: OCBC

[winston]

not vested

Daiwa Cuts JD-SW (09618.HK) TP to $185; Product Reshuffle Still Underway

Daiwa, in its report, mentioned that after meeting with JD-SW (09618.HK) management, the company's retail revenue was expected to grow 8% YoY next year.

If product adjustments are to be completed in 4Q23 and the macro-economy improves, sales of high-end products will be favored and there will be room for further revenue growth.

The report said that despite the fierce competition in the 3P e-commerce market, JD seeks to increase 3P SKU supply, since more product diversity may help JD better understand and target customers and enhance customer loyalty.

The broker lowered its 2024 and 2025 earnings forecasts for the company by 3-5% to reflect the slower growth in JD's retail revenues, maintaining a Buy rating and lowering its target price to $185 from $216.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Why JD.com Sank Today

By Billy Duberstein

KEY POINTS

JD.com saw a price-target cut today.
Shares are now down more than 50% on the year.
Motley Fool Issues Rare “All In” Buy Alert

Today, analysts at Jefferies lowered their price target on JD.com from $97 to $80.

The analysts now think JD.com's core retail business will only see flattish year-over-year revenue growth in the recently completed quarter.

JD looks quite cheap, now trading at less than 15 times trailing earnings.

Source: Motley Fool

https://www.fool.com/investing/2023/10/ ... gn=article

[winston]

vested

JD.com (JD): An Undervalued Powerhouse in E-commerce

The GF Value, an estimation of fair value, stands at $73.86, suggesting that the stock is significantly undervalued.

JD.com has a cash-to-debt ratio of 3.22, which is better than 80.55% of 1100 companies in the Retail - Cyclical industry. The overall financial strength of JD.com is 8 out of 10, indicating strong financial health.

JD.com has been profitable 4 times over the past 10 years.

Over the past twelve months, the company had a revenue of $152.50 billion and an Earnings Per Share (EPS) of $1.93.

Its operating margin is 2.63%, which ranks worse than 55.31% of 1112 companies in the Retail - Cyclical industry.

Overall, the profitability of JD.com is ranked 5 out of 10, indicating fair profitability.

The 3-year average annual revenue growth rate of JD.com is 19.4%, which ranks better than 82.16% of 1048 companies in the Retail - Cyclical industry.

The 3-year average EBITDA growth rate is 2.5%, which ranks worse than 62.04% of 893 companies in the Retail - Cyclical industry.

For the past 12 months, JD.com's return on invested capital is 6.99, and its cost of capital is 5.56.

Source: GuruFocus Research

https://finance.yahoo.com/news/jd-com-j ... 41982.html

[winston]

Likely weaker-than-expected JDR growth in 3Q23

In a preview call, management said that JD’s 3Q23F top-line growth is likely to be at the low end of its previous guidance (0–5% yoy), i.e. roughly 0–1% yoy.

For JDR, management lowered its 3Q23F sales growth guidance to -1–0% yoy, factoring in the impact of business adjustments and weak sales of electronic goods.

We expect JD’s 3Q23F revenue to increase slightly by 1% yoy and its non-GAAP NPM to reach 3.6%, down 0.5% pt yoy.

Reiterate Add, with a lower DCF-based TP of HK$275.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... E80394921E

[winston]

vested

JD.com (9618 HK)

Negative Impact On Top-line Growth In 2H23 Due To Restructuring; Recovery In 2024

JD is expecting tempered top-line growth for 2H23 given the adverse impact from restructuring and a sluggish macro backdrop.

However, 3Q23 GMV growth is projected be solid at 8-9% after stripping out the impact of reorganisation.

In view of the weak visibility of macro improvement, we expect lukewarm consumer sentiment to continue into 4Q23 despite strong seasonality.

JD continues to focus on its Low Price Strategy as the core strategic approach for Singles Day 2023.

Maintain BUY with a lower target price of HK$183.00 (US$48.00).

Source: UOBKH

https://research.uobkayhian.com/content ... d0537f927c

[winston]

vested

Weaker than expected 3Q23 performance

Expect JD Retail revenue growth to be flat y-o-y in 3Q23, revised down from our previous forecast of 3%

Weaker consumption and strategic adjustment for FMCG segment are key reasons

Cut FY23F/FY24F/FY25F non-GAAP earnings by 10%/12%/11% on slower JD Retail revenue growth

Maintain BUY as we expect growth momentum to pick up in FY24 post-strategic adjustment; TPs lowered to HK$206/ US$52

Source: DBS

https://www.dbs.com/insightsdirect/comp ... ecid=16485

[winston]

vested

Morningstar Slashes JD.com, Inc. (JD.US)'s Fair Value by 51%

Morningstar, an investment research institution, slashed its fair value on JD.com, Inc. (JD.US) by 51% to US$43, equivalent to about HK$167, and cut its 10-year revenue CAGR forecast to 3% from 6%.

Morningstar lowered its non-GAAP net profit CAGR forecast to 6% from 14%, reflecting that JD.com, Inc.'s strategy of shifting to a lower-price will take longer than expected.

Related News: CLSA Foresees JD 3FQ Rev. to Only Gain 1.1% YoY to RMB246B, Adj. NP to Sink 9.8% to RMB9.1B

Morningstar's order of preference for the e-commerce sector remains PDD Holdings Inc. (PDD.US), Alibaba Group Holding Limited (BABA.US) and JD.com, Inc..

Morningstar said that JD.com, Inc. is facing competitive pressure as Chinese e-commerce firms return to low-price competition.

Self-operated platform of JD.com, Inc. adopts JD LOGISTICS (02618.HK), which provides high-end services, making the selling prices of goods higher than its peers, failing to cater to the trend of consumption downgrading.

Related News: Citi Axes JD.com, Inc. (JD.US) TP to US$43, Rating Buy

As for third-party sales platforms, JD.com, Inc.'s strength is in home appliances as compared with other competitors, but demand in China property market will only recover modestly in the medium to long term.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

JD.com (9618 HK / JD US) - Waiting for growth re-acceleration

Summary (9618 HK): JD.com will report 3Q23 result in mid-November.

In light of a relatively muted consumption trend, a high base effect, intense competition and on-going impact from restructuring adjustment, 3Q23 revenue growth is expected to stay more or less flat year-on-year (YoY).

JD Retail's gross merchandise value (GMV) growth is expected to decelerate to mid-single digit YoY given overall online sales of physical goods in China also decelerated to 7% YoY in 3Q23.

Going into the seasonally strong 4Q23 and the “11.11” promotional period, we believe subdued consumption sentiment and competitive pricing discount are likely to cap any meaningful rebound of growth for JD albeit a modest sequential improvement is still expected.

While management has created initiatives to focus on delivering customer value and grow 3P business, they have yet to show GMV conversion has caught up or made meaningful progress to enhance the value-for-money product categories in light of the broader trend of consumption downgrades.

The stock is trading at an undemanding valuation of around 8x forward price-to-equity (P/E) (or around 7x P/E, excluding cash), suggesting that the current share price is pricing in an ex-growth scenario.

We believe share price is likely to stay range bound in the near-term until more clarity on growth re-acceleration.

The post-3Q23 management update would be a key event to watch out – update on the “Singles Day” performance, restructuring update and 2024 outlook.

We revise down earnings estimates by 3-5% in the next two years.

We update our fair value estimate to HKD162.00 based on sum of the parts (SOTP) methodology and is implying a forward P/E multiple of 13x, which is a -1 s.d. to historical average. BUY.

Source: OCBC

[winston]

by behappyalways:-

JD.com sells ovens at "low prices across the entire network" and criticizes Li Jiaqi for monopolizing prices

京東「全網低價」賣烤箱 批李佳琦壟斷價格｜方念華｜FOCUS全球新聞 20231109@tvbsfocus

https://m.youtube.com/watch?v=wq5gFcKRiXE