JD.com, Inc. (JD) closed at $33.88 in the latest trading session, marking a +1.44% move from the prior day. The stock's change was more than the S&P 500's daily gain of 0.06%. Meanwhile, the Dow experienced a rise of 0.41%, and the technology-dominated Nasdaq saw a decrease of 0.39%.
Shares of the company witnessed a gain of 5.73% over the previous month, beating the performance of the Retail-Wholesale sector with its gain of 5.04%, and underperforming the S&P 500's gain of 5.88%.
The upcoming earnings release of JD.com, Inc. will be of great interest to investors. On that day, JD.com, Inc. is projected to report earnings of $0.5 per share, which would represent a year-over-year decline of 61.24%. Meanwhile, our latest consensus estimate is calling for revenue of $46.93 billion, up 17.03% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.48 per share and revenue of $180.05 billion, indicating changes of -41.78% and +12%, respectively, compared to the previous year.
Any recent changes to analyst estimates for JD.com, Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 39.49% lower. JD.com, Inc. is currently a Zacks Rank #5 (Strong Sell).
In the context of valuation, JD.com, Inc. is at present trading with a Forward P/E ratio of 13.48. This indicates a discount in contrast to its industry's Forward P/E of 22.48.
One should further note that JD currently holds a PEG ratio of 3.98. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Internet - Commerce industry had an average PEG ratio of 1.67 as trading concluded yesterday.
The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 67, positioning it in the top 28% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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JD.com, Inc. (JD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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