Shares of the Hong Kong-listed JD.com, Inc. (HK:9618) have garnered positive analyst sentiments, signaling strong growth potential. After the company released its Q3 results last month, the stock received three Buy ratings. Overall, it holds a Strong Buy rating on TipRanks, with a projected upside potential of over 30%. The positive outlook from analysts positions JD.com as an attractive investment opportunity in the Hong Kong market.
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JD.com is a leading e-commerce platform in China that offers products such as electronics, home appliances, and groceries.
JD.com Delivers Revenue Growth in Q3
In Q3 2024, JD.com delivered a year-over-year growth of 5.1% in its net revenues, reaching ¥260.4 billion. Meanwhile, net income attributable to ordinary shareholders grew 47.8% to ¥11.7 billion compared to Q3 2023.
The company highlighted its top-line and bottom-line growth as overall consumer sentiment remained strong.
Insights from TipRanks’ Bulls Say, Bears Say
TipRanks’ Bulls Say, Bears Say tool offers insights into analysts’ views on JD.com stock.
Bulls are confident that the company’s focus on expanding into fast-growing sectors such as groceries and healthcare will drive higher revenues. Additionally, analysts are bullish on the company’s ongoing investment in supply chain infrastructure and logistics, resulting in better efficiency. In Q3 2024, the company’s operating margin increased to 4.6% from 3.8% a year ago.
On the flip side, bears are worried about macroeconomic challenges and fierce competition in new sectors and lower-tier cities.
Recent Analyst Ratings Highlight JD.com’s Potential
Most recently, Bernstein analyst Robin Zhu upgraded his rating on JD.com stock from Hold to Buy, citing the company’s focus on profitability and the government’s support for durable goods consumption. Moreover, Zhu pointed out that JD’s valuation is currently under eight times its projected earnings for 2025, presenting a potential opportunity for investors despite broader macroeconomic challenges. Zhu’s price target of HK$180 implies an upside of 20.8%.
Prior to this, DBS and Macquarie reaffirmed their Buy ratings on the stock last month.
DBS’ Sachin Mittal believes that JD.com’s emphasis on high-growth sectors and the ability to sustain strong earnings growth supports the positive outlook for its future performance.
Is JD.com a Good Buy?
As per the consensus among analysts on TipRanks, 9618 stock has been assigned a Strong Buy rating based on seven Buy recommendations. The JD.com share price target is HK$197, which implies an upside of 32.2% from the current price level.
Year-to-date, the stock has gained 34%.
