Zacks Research Downgrades JD.com (NASDAQ:JD) to Strong Sell

JD.com (NASDAQ:JD) was downgraded by investment analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Monday,Zacks.com reports.

JD has been the subject of several other research reports. Arete downgraded JD.com from a “buy” rating to a “neutral” rating and set a $32.00 price objective for the company. in a report on Tuesday, December 9th. HSBC restated a “buy” rating and set a $37.00 price objective on shares of JD.com in a research note on Monday, December 29th. Wall Street Zen downgraded shares of JD.com from a “hold” rating to a “sell” rating in a research note on Saturday, November 22nd. Bank of America lowered their price target on JD.com from $39.00 to $38.00 and set a “buy” rating on the stock in a research report on Friday, November 14th. Finally, Sanford C. Bernstein restated an “outperform” rating and issued a $38.00 price objective on shares of JD.com in a research note on Friday, November 14th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, five have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $38.67.

JD.com Trading Down 2.3%

Shares of NASDAQ:JD opened at $28.93 on Monday. The company’s 50-day moving average price is $29.98 and its two-hundred day moving average price is $31.83. JD.com has a one year low of $28.21 and a one year high of $46.44. The company has a debt-to-equity ratio of 0.20, a current ratio of 1.20 and a quick ratio of 0.88. The stock has a market capitalization of $41.44 billion, a PE ratio of 9.85, a price-to-earnings-growth ratio of 5.39 and a beta of 0.40.

JD.com (NASDAQ:JD) last released its earnings results on Thursday, November 13th. The information services provider reported $0.52 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.44 by $0.08. JD.com had a return on equity of 10.99% and a net margin of 2.46%.The business had revenue of $41.98 billion for the quarter, compared to the consensus estimate of $40.87 billion. During the same quarter in the previous year, the business earned $8.68 earnings per share. JD.com’s quarterly revenue was up 14.9% on a year-over-year basis. On average, equities analysts forecast that JD.com will post 3.91 EPS for the current fiscal year.

Institutional Trading of JD.com

Several hedge funds have recently added to or reduced their stakes in JD. Binnacle Investments Inc increased its position in JD.com by 365.8% during the 3rd quarter. Binnacle Investments Inc now owns 750 shares of the information services provider’s stock worth $26,000 after buying an additional 589 shares during the period. Stone House Investment Management LLC bought a new position in JD.com during the third quarter worth about $35,000. Assetmark Inc. increased its position in JD.com by 62.0% during the third quarter. Assetmark Inc. now owns 1,043 shares of the information services provider’s stock worth $36,000 after acquiring an additional 399 shares during the period. Ameritas Advisory Services LLC acquired a new stake in JD.com in the 2nd quarter worth about $37,000. Finally, Golden State Wealth Management LLC boosted its holdings in JD.com by 657.9% in the 3rd quarter. Golden State Wealth Management LLC now owns 1,152 shares of the information services provider’s stock valued at $40,000 after purchasing an additional 1,000 shares during the period. 15.98% of the stock is owned by institutional investors and hedge funds.

JD.com Company Profile

JD.com is a major Chinese e-commerce company that operates a comprehensive online retail platform selling a wide range of consumer goods, including electronics, appliances, apparel, groceries and everyday household items. The company combines direct retailing—purchasing inventory and selling products itself—with a marketplace for third-party merchants, offering consumers both self-operated and third-party choices. In addition to its core retail business, JD.com has expanded into adjacent services such as digital marketplaces for cross-border commerce, online pharmacy and healthcare services, and enterprise-facing cloud and technology solutions.

A distinctive feature of JD.com’s business model is its integrated logistics and fulfillment network.