Alicia Yap Reiterates Buy on JD.com, Sets $39 Price Target on Improving Fundamentals and Earnings Recovery
Complete. Here is the key summaryCiti analyst Alicia Yap reiterated a Buy rating on JD.com with a $39 price target, citing improving fundamentals and earnings recovery. She anticipates Q2 revenue and profitability meeting or exceeding expectations due to strong June online retail sales in home appliances and communications. Additionally, she expects solid non-GAAP earnings growth driven by cost control and narrowing losses in new initiatives like food delivery. Barclays also maintained a Buy rating with a $41 target.
Citi analyst Alicia Yap maintained a Buy rating on JD today and set a price target of $39.00.
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Alicia Yap has given his Buy rating due to a combination of factors tied to JD’s improving fundamentals and valuation outlook. She sees the recent upside surprise in June online retail sales, especially in home appliances and communication tools, as evidence that JD’s second-quarter revenue and profitability will likely come in at or slightly above market expectations.
Moreover, she now anticipates solid non-GAAP earnings growth with margin expansion, supported by better cost control and narrowing losses in newer initiatives such as food delivery. With the model update still pointing to meaningful upside versus the current share price, and a target price of US$39 based on reasonable forward earnings multiples, she concludes that JD offers attractive return potential alongside a visible earnings recovery trend.
In another report released on July 15, Barclays also maintained a Buy rating on the stock with a $41.00 price target.