PDD (NASDAQ:PDD) Stock Price Down 3.7% – Should You Sell?

PDD Holdings Inc. (NASDAQ:PDD) dropped 3.7% during mid-day trading on Monday . The stock traded as low as $137.80 and last traded at $139.38. Approximately 5,954,163 shares traded hands during trading, a decline of 44% from the average daily volume of 10,715,357 shares. The stock had previously closed at $144.76.

Wall Street Analyst Weigh In

PDD has been the subject of a number of analyst reports. Bank of America dropped their price target on PDD from $206.00 to $170.00 and set a “buy” rating for the company in a research report on Tuesday, August 27th. Nomura Securities upgraded shares of PDD to a “strong-buy” rating in a research report on Tuesday, August 27th. Benchmark dropped their price target on shares of PDD from $230.00 to $185.00 and set a “buy” rating for the company in a research note on Tuesday, August 27th. Jefferies Financial Group reduced their price target on shares of PDD from $193.00 to $151.00 and set a “buy” rating on the stock in a research report on Monday, August 26th. Finally, Citigroup lowered PDD from a “buy” rating to a “neutral” rating and lowered their price objective for the stock from $194.00 to $120.00 in a research report on Tuesday, August 27th. One equities research analyst has rated the stock with a hold rating, nine have given a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, PDD presently has an average rating of “Buy” and an average target price of $182.40.

PDD Stock Down 5.7 %

The company has a market cap of $187.81 billion, a PE ratio of 18.06, a P/E/G ratio of 0.35 and a beta of 0.71. The business’s 50 day moving average is $121.88 and its 200-day moving average is $130.24. The company has a debt-to-equity ratio of 0.02, a current ratio of 2.11 and a quick ratio of 2.11.

PDD (NASDAQ:PDD) last issued its earnings results on Monday, August 26th. The company reported $23.24 earnings per share for the quarter, topping the consensus estimate of $2.66 by $20.58. The business had revenue of $97.06 billion for the quarter, compared to analyst estimates 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 last year, the company earned $1.27 EPS. As a group, analysts predict that PDD Holdings Inc. will post 11.05 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in PDD. American International Group Inc. lifted its position in PDD by 4.0% in the fourth quarter. American International Group Inc. now owns 53,219 shares of the company’s stock valued at $7,786,000 after purchasing an additional 2,026 shares during the period. Royal London Asset Management Ltd. acquired a new position in PDD during the fourth quarter worth $112,000. Wellington Management Group LLP raised its position in PDD by 55.9% in the fourth quarter. Wellington Management Group LLP now owns 386,619 shares of the company’s stock worth $56,566,000 after acquiring an additional 138,662 shares in the last quarter. Vanguard Group Inc. lifted its holdings in PDD by 0.3% in the fourth quarter. Vanguard Group Inc. now owns 24,163,927 shares of the company’s stock valued at $3,535,424,000 after acquiring an additional 62,312 shares during the period. Finally, Sivia Capital Partners LLC acquired a new position in shares of PDD during the 4th quarter worth $213,000. Institutional investors and hedge funds own 29.07% of the company’s stock.

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.