JD.com (NASDAQ:JD) Stock Rating Lowered by Zacks Research

JD.com (NASDAQ:JD) was downgraded by analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a note issued to investors on Tuesday,Zacks.com reports.

A number of other brokerages also recently commented on JD. Arete Research set a $37.00 target price on shares of JD.com in a research note on Friday, April 17th. Daiwa Securities Group reissued a “hold” rating and issued a $27.00 price target on shares of JD.com in a research note on Tuesday, June 23rd. Nomura raised their price target on shares of JD.com from $40.00 to $41.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Susquehanna lifted their price target on shares of JD.com from $30.00 to $35.00 and gave the company a “neutral” rating in a research report on Thursday, May 14th. Finally, Wall Street Zen upgraded JD.com from a “sell” rating to a “hold” rating in a report on Saturday, April 18th. Nine analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $36.42.

JD.com Stock Down 1.0%

Shares of JD opened at $31.61 on Tuesday. JD.com has a 52-week low of $24.51 and a 52-week high of $36.86. The company has a market capitalization of $39.46 billion, a PE ratio of 24.70 and a beta of 0.38. The stock has a fifty day simple moving average of $29.12 and a two-hundred day simple moving average of $29.06. The company has a quick ratio of 0.87, a current ratio of 1.18 and a debt-to-equity ratio of 0.22.

JD.com (NASDAQ:JD) last announced its quarterly earnings results on Thursday, August 13th. The information services provider reported $0.92 earnings per share for the quarter, beating the consensus estimate of $0.86 by $0.06. JD.com had a net margin of 1.04% and a return on equity of 5.90%. The firm had revenue of $50.99 billion for the quarter, compared to analysts’ expectations of $50.38 billion. As a group, equities analysts forecast that JD.com will post 2.78 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of JD. Binnacle Investments Inc lifted its position in JD.com by 365.8% in the third quarter. Binnacle Investments Inc now owns 750 shares of the information services provider’s stock valued at $26,000 after buying an additional 589 shares during the last quarter. Root Financial Partners LLC increased its position in shares of JD.com by 1,020.0% during the fourth quarter. Root Financial Partners LLC now owns 1,120 shares of the information services provider’s stock valued at $32,000 after acquiring an additional 1,020 shares during the last quarter. Caitong International Asset Management Co. Ltd increased its position in shares of JD.com by 191.3% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,241 shares of the information services provider’s stock valued at $36,000 after acquiring an additional 815 shares during the last quarter. EFG International AG purchased a new stake in shares of JD.com in the 4th quarter valued at approximately $36,000. Finally, Inspire Investing LLC acquired a new position in shares of JD.com in the 4th quarter worth approximately $38,000. Institutional investors and hedge funds own 15.98% of the company’s stock.

More JD.com News

Here are the key news stories impacting JD.com this week:

• Positive Sentiment: Adjusted earnings were $0.92 per share, exceeding the $0.86 analyst consensus, while revenue reached $50.99 billion versus expectations of $50.38 billion. The longer 618 shopping-festival sales period helped support revenue growth. JD.com Second Quarter Results Press Release
• Positive Sentiment: Losses at JD.com’s food-delivery operation narrowed, signaling progress in reducing the drag from newer growth initiatives. Services, JD Logistics and international operations remain important potential growth drivers. JD.com Profit, Revenue Beat Expectations as Food-Delivery Losses Narrow
• Neutral Sentiment: The company is increasing investment in artificial intelligence, international operations and other services. These initiatives could expand JD.com’s longer-term addressable market, but their financial benefits have not yet fully offset the associated spending.
• Neutral Sentiment: JD.com is also expanding direct sourcing of Korean consumer goods and establishing a sourcing unit in South Korea, supporting product selection and cross-border commerce while adding to its international-growth commitments. JD.com Expands Direct Buying of Korean Consumer Goods
• Negative Sentiment: Investors appeared to view the earnings beat as insufficient because promotional activity, food delivery, AI and overseas expansion can pressure margins. JD.com’s reported net margin was only 1.04%, highlighting the limited cushion for higher costs. JD.com Posts Earnings Beat but Stock Drops
• Negative Sentiment: The market reaction suggests that much of the expected benefit from the 618 promotion and recovery initiatives may already have been reflected in the shares, leaving investors focused on sustainable margin improvement and execution risks.

About JD.com

JD.com is a major Chinese e-commerce company that operates a comprehensive online retail platform selling a wide range of consumer goods, including electronics, appliances, apparel, groceries and everyday household items. The company combines direct retailing—purchasing inventory and selling products itself—with a marketplace for third-party merchants, offering consumers both self-operated and third-party choices. In addition to its core retail business, JD.com has expanded into adjacent services such as digital marketplaces for cross-border commerce, online pharmacy and healthcare services, and enterprise-facing cloud and technology solutions.

A distinctive feature of JD.com’s business model is its integrated logistics and fulfillment network.