JD.com, Inc. (JD) Increases Yet Falls Behind Market: What Investors Need to Know
JD.com, Inc. (JD) closed the most recent trading day at $23.96, moving +0.71% from the previous trading session. This change lagged the S&P 500's 2.11% gain on the day. Meanwhile, the Dow gained 1.18%, and the Nasdaq, a tech-heavy index, added 2.96%.
Shares of the company witnessed a gain of 0.81% over the previous month, trailing the performance of the Retail-Wholesale sector with its gain of 4.94% and the S&P 500's gain of 3.08%.
Market participants will be closely following the financial results of JD.com, Inc. in its upcoming release. The company is predicted to post an EPS of $0.65, indicating a 7.14% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $42.56 billion, indicating a 0.65% decrease compared to the same quarter of the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for JD.com, Inc. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 3.65% rise in the Zacks Consensus EPS estimate. As of now, JD.com, Inc. holds a Zacks Rank of #3 (Hold).
In terms of valuation, JD.com, Inc. is presently being traded at a Forward P/E ratio of 7.8. This expresses a discount compared to the average Forward P/E of 19.51 of its industry.
We can additionally observe that JD currently boasts a PEG ratio of 0.18. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Internet - Commerce industry was having an average PEG ratio of 0.58.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 92, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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JD.com, Inc. (JD) : Free Stock Analysis Report
