As of Thursday close, PDD Holdings Inc.’s (NASDAQ:PDD) stock was up $0.83, moving up 0.85 percent to $98.97. The average number of shares traded per day over the past five days has been 20,541,420 shares. 5 times new highs have been achieved over the past 5 days, with a $20.70 gain in that time frame. In the last twenty days, the average volume was 10,695,400, while in the previous 50 days, it was 9,754,068.
Since last month, PDD stock rose 17.81%. Shares of the company fell to $75.44 on 08/21/23, the lowest level in the past month. A 52-week high of $106.38 was reached on 01/27/23 after having rallying from a 52-week low of $38.80. Since the beginning of this year, PDD’s stock price has risen by 21.36% or $17.42, and marked a new high 6 times. However, the stock has declined by -6.97% since its 52-week high.
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Valuation Metrics
Right now, PDD Holdings Inc. (PDD) has a P/E ratio of about 28.18. The stock’s beta is 0.77. Besides these, the trailing price-to-sales (P/S) ratio of 6.45, the price-to-book (PB) ratio of 7.52, and the price-to-cash flow ratio of 15.80 may also be considered.
Financial Health
According to company report, the long-term debt-to-equity ratio for the quarter ending June 30 was 0.01, and the total debt-to-equity ratio was 0.12. On the profitability front, the trailing twelve-month gross margin is 75.50% percent. In the year ended June 30, EBITDA margin amounted to 25.38%, whereas operating margins totaled 24.40%. Based on annual data, PDD earned $14.37 billion in gross profit and brought in $18.93 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 19.30%. Return on equity (ROE) for the past 12 months was 33.50%.
According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. PDD’s revenue rose 22.12% during the quarter, while net income inched up to $18.93 billion. While analysts expected PDD Holdings Inc. to report $1 quarterly earnings, the actual figure was $1.44 per share, beating the consensus estimate by 44.00%. During the quarter, the company generated $1.75 billion in EBITDA. The liabilities of PDD Holdings Inc. were 17.78 billion at the end of its most recent quarter ended June 30, and its total debt was $18.27 billion.
Technical Picture
This quick technical analysis looks at PDD Holdings Inc.’s (PDD) price momentum. With a historical volatility rate of 65.38%, the RSI 9-day stood at 83.46% on 31 August.
With respect to its five-day moving average, the current PDD Holdings Inc. price is up by +26.45% percent or $20.70. At present, PDD shares trade +11.44% above its 20-day simple moving average and +38.79% percent above its 100-day simple moving average. However, the stock is currently trading approximately +35.52% above its SMA50 and +51.84% above its SMA200.
Stochastic coefficient K was 92.17% and Stochastic coefficient D was 73.65%, while ATR was 4.55. Given the Stochastic reading of 93.10% for the 14-day period, the RSI (14) reading has been calculated as 75.64%. As of today, the MACD Oscillator reading stands at 12.03, while the 14-day reading stands at 14.01.
Analyst Ratings
Goldman upgraded its rating on PDD Holdings Inc. (NASDAQ: PDD) to a Buy in a note to investors on August 30, 2023. The analysts firm previously had a Neutral rating on the stock.PDD Holdings Inc. (PDD) has been rated Buy by analysts. According to 0 brokerage firms, PDD is a sell, and 3 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 6 analysts rate PDD Holdings Inc. stock as buy, with 38 recommending it as overweight.
With a median target price of $875.00, the current consensus forecast for the stock is $576.04 – $1159.38. Based on these forecasts, analysts predict PDD Holdings Inc. (PDD) will achieve an average price target of $866.49.
