JD.com, Inc. (JD) ended the recent trading session at $41.12, demonstrating a -1.11% swing from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily gain of 0.55%. Elsewhere, the Dow saw an upswing of 1.01%, while the tech-heavy Nasdaq depreciated by 0.14%.
Shares of the company witnessed a loss of 0.76% over the previous month, beating the performance of the Retail-Wholesale sector with its loss of 8.04% and the S&P 500's loss of 6.22%.
The upcoming earnings release of JD.com, Inc. will be of great interest to investors. The company's earnings per share (EPS) are projected to be $1, reflecting a 28.21% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $40.07 billion, indicating a 11.27% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $4.76 per share and a revenue of $173.05 billion, demonstrating changes of +11.74% and +7.65%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for JD.com, Inc. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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. The Zacks Consensus EPS estimate has moved 6.63% higher within the past month. JD.com, Inc. presently features a Zacks Rank of #1 (Strong Buy).
With respect to valuation, JD.com, Inc. is currently being traded at a Forward P/E ratio of 8.74. For comparison, its industry has an average Forward P/E of 22.05, which means JD.com, Inc. is trading at a discount to the group.
Meanwhile, JD's PEG ratio is currently 0.27. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Internet - Commerce industry held an average PEG ratio of 1.33.
The Internet - Commerce industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 64, this industry ranks in the top 26% of all industries, numbering over 250.
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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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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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