JD.com stock: buy or sell?
Updated on:
December 6th, 2019
3
JD.com, Inc., through its subsidiaries, operates as an e-commerce company in the People's Republic of China. The company operates in two segments, JD Mall and New Businesses.
Should I buy JD.com stock?
Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. That's why is so important to define your own trading strategy that matches with your character as inversor. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.Currently, JD.com stock doesn't match any of these trading strategies, so our recommendation is not to buy.
| Buy setup | Elegible |
|---|---|
| New all-time high | No |
| New 52 week high | No |
| Price crossing up 200d MA | No |
| 100d MA crossing up 200d MA | No |
Is JD.com stock a buy?
Financial institutions and banks post stock ratings everyday.
At Stocks2.com, we detected 15 ratings published for JD stock in the last 30 days. The general sentiment of these ratings is bullish for JD stock, with 11 positive ratings.| Date | Analyst / Broker | Previous rating | Current rating |
| 2019-9-25 | Peel Hunt | n/a | Buy |
| 2019-9-19 | Shore Capital | n/a | Buy |
| 2019-9-17 | Morgan Stanley | n/a | Equal weight |
| 2019-9-13 | UBS Group | n/a | Buy |
| 2019-9-12 | Credit Suisse Group | n/a | Outperform |
| 2019-9-10 | Shore Capital | n/a | Buy |
| 2019-8-5 | Jefferies Financial Group | n/a | Buy |
| 2019-8-19 | Barclays | n/a | Equal Weight |
| 2019-8-14 | Mizuho | n/a | Neutral |
| 2019-8-14 | Credit Suisse Group | n/a | Outperform |
| 2019-8-14 | Citigroup | n/a | Buy |
| 2019-8-14 | Benchmark | n/a | Buy |
| 2019-8-13 | Stifel Nicolaus | n/a | Hold |
| 2019-7-17 | Credit Suisse Group | Outperform | Outperform |
| 2019-4-30 | JPMorgan Chase & Co. | Neutral | Overweight |
JD.com stock analysis
Daily outlook
JD.com closed on December/6 at $32.93 and inched a good 1.20%.
Shares of JD.com inched a good 1.20% and closed at $32.93. On October JD price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. JD marked a lower low and a lower high in the short term, defining a downward trend. Climbing above $33.18 would break this short term down trend and open possibilities for reversing this situation. On August, SMA50d and SMA100d crossed up triggering a rise of 19.57%.
Weekly outlook
JD.com shares raised 0.86% this week, ending at $32.93. Early November JD skyrocketed a cool 5.24% in just one week. By mid November JD collapsed a shocking -5.01% in just one week.
Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $35.43 resistance. Since price and SMA40w lines crossed up late September, JD climbed $5.11 (18.37%). Late April, SMA20w and SMA40w crossed up triggering a rise of 13.04%.
JD.com stock price history
JD.com stock went public on May 22nd, 2014 with a price of $21.751. Since then, JD stock surged a 51.40%, with a yearly average of 10.30%. If you had invested right after JD's IPO a $1,000 in JD.com stock in 2014, it would worth $514.00 today.
1: Adjusted price after possible price splits or reverse-splits.
JD.com stock historical price chart
JD stock reached 52-week highs on Nov 15th at $35.43, and all-time highs 2018-01-29 with a price of 50.68.
JD.com stock price target is $37.00
Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' JD stock price predictions in the hope that they will be met as they may be wrong and not met. We have 5 price forecasts for JD.com stock posted in the last month:| Date | Analyst / Broker | Action | Previous target | Current target | Diff |
| 2019-8-19 | Barclays | Initiates | n/a | $36.00 | - |
| 2019-8-14 | Mizuho | Reiterates | $28.00 | $31.00 | 10.7% |
| 2019-8-14 | Citigroup | Reiterates | $41.00 | $43.00 | 4.9% |
| 2019-8-14 | Benchmark | Reiterates | $36.00 | $40.00 | 11.1% |
| 2019-8-13 | Stifel Nicolaus | Reiterates | n/a | $35.00 | - |
| (in average) | $35.00 | $37.00 | 6.0% |
Financials and fundamental analysis
Earnings date and Earnings per Share
On February, JD.com missed the forecasts of the experts and reported a hair-raising EPS of $-0.03 per share when experts were expecting $-0.11.| Quarter | Reporting date | Estimated EPS | Actual EPS | Surprise |
|---|---|---|---|---|
| 2017-Q1 | - | n/a | 0.12 | n/a |
| 2017-Q2 | - | n/a | n/a | n/a |
| 2017-Q3 | 2017-11-13 | 0.11 | 0.24 | 118.2% |
| 2017-Q4 | 2018-03-02 | -0.04 | -0.1 | n/a |
| 2018-Q1 | 2018-05-08 | -0.02 | 0.17 | n/a |
| 2018-Q2 | 2018-08-16 | -0.02 | -0.23 | n/a |
| 2018-Q3 | 2018-11-19 | 0.08 | 0.02 | -75.0% |
| 2018-Q4 | 2019-02-28 | -0.11 | -0.03 | n/a |
| 2019-Q1 | - | n/a | n/a | n/a |
| 2019-Q2 | - | n/a | n/a | n/a |
Annual financial results
In 2018, JD.com annual turnover climbed an amazing 27.51% to $462,020.00 million USD from $362,332.00 marked in 2017. On the other hand, its earnings margin (compared to sales) stayed constant to -0.54%, that is $-2,491.63 million.| Year | Sales | YoY | Income/(margin) | YoY |
|---|---|---|---|---|
| 2013 | $11,290 M | - | $-8.13 M-0.1% | - |
| 2014 | $115,002 M | 918.62% | $-4,996.36 M-4.3% | 61,355.84% |
| 2015 | $181,042 M | 57.43% | $-9,107.94 M-5.0% | 82.29% |
| 2016 | $260,122 M | 43.68% | $-3,806.79 M-1.5% | -58.20% |
| 2017 | $362,332 M | 39.29% | $-152.26 M-0.0% | -96.00% |
| 2018 | $462,020 M | 27.51% | $-2,491.63 M-0.5% | 1,536.46% |
Quarterly financial results
JD.com reported $134,833.00 M in sales for 2018-Q4, a 28.70% up compared to previous quarter. Reported quarter earnings marked $-4,804.73 million with a profit margin of -3.56%. Profit margin eased a -6.43% compared to previous quarter when profit margin was 2.86%. When comparing sales to same quarter last year, JD.com sales marked an exceptional growth and rocketed a 22.39%.| Quarter | Sales1 | QoQ2 | Income1/(margin) | QoQ2 |
|---|---|---|---|---|
| 2017-Q1 | $11,070 M | - | $34.71 M0.3% | - |
| 2017-Q2 | $13,580 M | 22.67% | $-41.83 M-0.3% | -220.51% |
| 2017-Q3 | $12,587 M | -7.32% | $152.44 M1.2% | -464.43% |
| 2017-Q4 | $110,165 M | 775.26% | $-909.23 M-0.8% | -696.44% |
| 2018-Q1 | $100,128 M | -9.11% | $1,524.94 M1.5% | -267.72% |
| 2018-Q2 | $122,291 M | 22.13% | $-2,212.47 M-1.8% | -245.09% |
| 2018-Q3 | $104,768 M | -14.33% | $3,000.62 M2.9% | -235.62% |
| 2018-Q4 | $134,833 M | 28.70% | $-4,804.73 M-3.6% | -260.12% |
JD.com ownership
When you are planning to buy a stock, it's worth to overview its ownership structure.JD.com shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 2.11% of all shares.
In case of JD.com stock, 50.29% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for JD stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to JD.com:
| JD | BABA | JMEI | LEJU | LITB | |
|---|---|---|---|---|---|
| Market cap | $48.1 B | $526.9 B | $211.0 M | $247.1 M | $59.2 M |
| Total shares | 1,460.0 M | 2,610.0 M | 118.6 M | 135.8 M | 67.2 M |
| Float shares | 814.5 M | 1,740.0 M | 66.8 M | 18.1 M | 13.9 M |
| - Institutional holdings (%) | 50.3% | 42.1% | 9.2% | 1.1% | 13.9% |
| - Insider holdings (%) | 2.1% | 48.5% | 0.9% | 1.7% | 15.8% |
| Shares in short selling | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
JD.com summary
| Friday, December 6th, 2019 | |
|---|---|
| Open | $32.97 |
| Close | $32.93 |
| Day range | $32.78 - $33.18 |
| Previous close | $32.54 |
| Session gain | 1.20% |
| Average true range | $0.91 |
| 50d mov avg | $31.29 |
| 100d mov avg | $30.70 |
| 200d mov avg | $29.79 |
| Daily pattern | lb06a |
| Weekly pattern | lb02a |
JD.com performance
To better understand JD.com performance you must compare its gains with other related stocks in same sector or industry. We compared JD.com against Alibaba, Jumei International, Leju, LightInTheBox and Vipshop in the following table:| Stock | 3m | 6m | 12m |
|---|---|---|---|
| JDJD.com | 5.95% | 22.87% | 57.33% |
| BABAAlibaba | 14.26% | 30.90% | 31.90% |
| JMEIJumei Internation... | -3.26% | -22.94% | -15.64% |
| LEJULeju | 4.00% | 46.77% | 18.95% |
| LITBLightInTheBox | -36.69% | -37.14% | 27.54% |
| VIPSVipshop | 56.46% | 85.89% | 158.46% |
JD.com competitors
We chose a few stocks to conform a list of JD.com competitors to check if you are interested in investing in JD:Latest JD.com stock news
- InvestorPlaceThere’s Still a Lot to Like About JD.com StockAugust 2, 2019
- InvestorPlaceJD.com Has the Potential to Unseat Alibaba as ‘The Amazon of China’August 1, 2019
- InvestorPlaceThere Are Good Reasons to Jump Into JD.com StockJuly 23, 2019
- Seeking AlphaJD.com: Back On TrackJuly 9, 2019
- Seeking AlphaJD.Com's Stock Nears A Big Break OutJuly 5, 2019