PDD (NASDAQ:PDD) Stock Price Down 3.6% After Analyst Downgrade

PDD Holdings Inc. (NASDAQ:PDD)’s share price was down 3.6% during mid-day trading on Friday after Benchmark lowered their price target on the stock from $185.00 to $160.00. Benchmark currently has a buy rating on the stock. PDD traded as low as $100.12 and last traded at $100.33. Approximately 5,460,291 shares were traded during trading, a decline of 49% from the average daily volume of 10,646,756 shares. The stock had previously closed at $104.09.

Other research analysts also recently issued research reports about the stock. Citigroup downgraded shares of 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 report on Tuesday, August 27th. Sanford C. Bernstein dropped their price target on shares of PDD from $235.00 to $170.00 and set an “outperform” rating on the stock in a research report on Tuesday, August 27th. Macquarie raised PDD from a “neutral” rating to an “outperform” rating and boosted their price objective for the stock from $126.00 to $224.00 in a report on Monday, October 7th. JPMorgan Chase & Co. lowered PDD from an “overweight” rating to a “neutral” rating in a report on Friday. Finally, Daiwa America upgraded PDD to a “strong-buy” rating in a report on Tuesday, August 27th. Two research analysts have rated the stock with a hold rating, eight have issued a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, PDD has a consensus rating of “Buy” and an average price target of $181.90.

Institutional Investors Weigh In On PDD

Several large investors have recently made changes to their positions in PDD. TT International Asset Management LTD purchased a new position in shares of PDD in the 3rd quarter worth about $74,430,000. Geode Capital Management LLC increased its holdings in PDD by 12.3% during the third quarter. Geode Capital Management LLC now owns 4,686,505 shares of the company’s stock worth $627,104,000 after buying an additional 513,248 shares during the last quarter. Sylebra Capital LLC raised its position in PDD by 207.7% in the third quarter. Sylebra Capital LLC now owns 492,166 shares of the company’s stock worth $66,349,000 after acquiring an additional 332,211 shares during the period. ABS Direct Equity Fund LLC boosted its stake in PDD by 24.2% in the third quarter. ABS Direct Equity Fund LLC now owns 60,100 shares of the company’s stock valued at $8,102,000 after acquiring an additional 11,694 shares during the last quarter. Finally, M&T Bank Corp bought a new position in shares of PDD during the 3rd quarter valued at approximately $2,134,000. 29.07% of the stock is owned by hedge funds and other institutional investors.

PDD Stock Performance

The company has a debt-to-equity ratio of 0.02, a quick ratio of 2.11 and a current ratio of 2.11. The company has a market cap of $137.26 billion, a PE ratio of 10.84, a price-to-earnings-growth ratio of 0.28 and a beta of 0.71. The company’s 50 day moving average price is $123.14 and its 200-day moving average price is $130.03.

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

About PDD

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.