PDD (NASDAQ:PDD) Shares Gap Down on Analyst Downgrade

PDD Holdings Inc. (NASDAQ:PDD)’s share price gapped down prior to trading on Thursday after Benchmark lowered their price target on the stock from $185.00 to $160.00. The stock had previously closed at $116.49, but opened at $104.43. Benchmark currently has a buy rating on the stock. PDD shares last traded at $106.29, with a volume of 6,255,358 shares.

A number of other research analysts also recently commented on PDD. Barclays dropped their price target on PDD from $224.00 to $158.00 and set an “overweight” rating for the company in a research note on Tuesday, August 27th. Nomura Securities upgraded shares of PDD to a “strong-buy” rating in a research report on Tuesday, August 27th. Bank of America reduced their price target on shares of PDD from $206.00 to $170.00 and set a “buy” rating on the stock in a research report on Tuesday, August 27th. Jefferies Financial Group decreased their price objective on shares of PDD from $181.00 to $171.00 and set a “buy” rating on the stock in a research note on Thursday. Finally, Macquarie upgraded PDD from a “neutral” rating to an “outperform” rating and upped their target price for the stock from $126.00 to $224.00 in a research note on Monday, October 7th. Two equities research analysts have rated the stock with a hold rating, eight have given a buy rating and two have issued a strong buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Buy” and an average target price of $173.40.

Institutional Trading of PDD

A number of hedge funds have recently made changes to their positions in the company. Prospera Private Wealth LLC bought a new position in PDD in the 3rd quarter valued at approximately $27,000. Venturi Wealth Management LLC acquired a new position in PDD in the 3rd quarter valued at approximately $29,000. Ashton Thomas Private Wealth LLC acquired a new position in PDD in the 2nd quarter valued at approximately $32,000. Richardson Financial Services Inc. raised its stake in shares of PDD by 3,883.3% during the second quarter. Richardson Financial Services Inc. now owns 239 shares of the company’s stock valued at $32,000 after acquiring an additional 233 shares during the last quarter. Finally, Future Financial Wealth Managment LLC acquired a new position in shares of PDD during the third quarter worth $34,000. 29.07% of the stock is owned by institutional investors and hedge funds.

PDD Trading Down 3.9 %

The company has a market cap of $137.68 billion, a P/E ratio of 10.78, a PEG ratio of 0.28 and a beta of 0.71. The firm’s 50 day moving average is $123.24 and its two-hundred day moving average is $129.77. The company has a quick ratio of 2.11, a current ratio of 2.11 and a debt-to-equity ratio of 0.02.

PDD (NASDAQ:PDD) last issued its quarterly earnings results on Monday, August 26th. The company reported $23.24 earnings per share for the quarter, beating the consensus estimate of $2.66 by $20.58. The company had revenue of $97.06 billion during the quarter, compared to analysts’ expectations of $100.17 billion. PDD had a return on equity of 48.14% and a net margin of 28.92%. The business’s quarterly revenue was up 85.7% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.27 earnings per share. As a group, equities research analysts anticipate that PDD Holdings Inc. will post 11.19 EPS for the current year.

PDD Company Profile

PDD Holdings Inc, a multinational commerce group, owns and operates a portfolio of businesses. It operates Pinduoduo, an e-commerce platform that offers products in various categories, including agricultural produce, apparel, shoes, bags, mother and childcare products, food and beverage, electronic appliances, furniture and household goods, cosmetics and other personal care, sports and fitness items and auto accessories; and Temu, an online marketplace.