JD.com, Inc. (JD) ended the recent trading session at $33.76, demonstrating a +2.09% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 1.07% for the day. Meanwhile, the Dow gained 1.12%, and the Nasdaq, a tech-heavy index, added 1.37%.
Shares of the company witnessed a loss of 5.78% over the previous month, trailing the performance of the Retail-Wholesale sector with its loss of 5.23%, and the S&P 500's gain of 1.08%.
The investment community will be paying close attention to the earnings performance of JD.com, Inc. in its upcoming release. The company is predicted to post an EPS of $0.46, indicating a 62.9% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $41.33 billion, showing a 11.4% escalation compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.8 per share and a revenue of $185.84 billion, representing changes of -34.27% and +15.61%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for JD.com, Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
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. Within the past 30 days, our consensus EPS projection has moved 3.51% higher. JD.com, Inc. currently has a Zacks Rank of #2 (Buy).
In the context of valuation, JD.com, Inc. is at present trading with a Forward P/E ratio of 11.82. This represents a discount compared to its industry average Forward P/E of 21.03.
It is also worth noting that JD currently has a PEG ratio of 3.04. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce was holding an average PEG ratio of 1.38 at yesterday's closing price.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next 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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