Bank of America Securities analyst Joyce Ju has reiterated their bullish stance on JD stock, giving a Buy rating on July 11.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Joyce Ju’s rating is based on the expectation of solid growth in JD’s core retail segment, which is projected to achieve mid-teens percentage growth year-over-year. The company’s direct sales revenues are anticipated to rise significantly, driven by strong performance in electronics, home appliances, and general merchandise. Additionally, JD’s marketplace, logistics, and other services are forecasted to experience accelerated growth, particularly due to the expansion of food delivery services.
Despite the anticipated losses from the food delivery business, which are expected to impact short-term profitability, Joyce Ju maintains a Buy rating. This is due to JD’s strategic focus on enhancing user experiences, optimizing system algorithms, and expanding its rider network. The long-term revenue potential, along with the current valuation and JD’s position as a key beneficiary of trade-in subsidies, supports the positive outlook for the stock.
In another report released on July 11, DBS also maintained a Buy rating on the stock with a $42.00 price target.