Traders Purchase Large Volume of Call Options on JD.com (NASDAQ:JD)

JD.com, Inc. (NASDAQ:JD) was the recipient of some unusual options trading activity on Friday. Investors bought 118,629 call options on the company. This represents an increase of approximately 51% compared to the average daily volume of 78,436 call options.

Hedge Funds Weigh In On JD.com

Several hedge funds have recently bought and sold shares of JD. China Universal Asset Management Co. Ltd. grew its holdings in shares of JD.com by 146.3% during the 3rd quarter. China Universal Asset Management Co. Ltd. now owns 1,754 shares of the information services provider’s stock valued at $51,000 after purchasing an additional 1,042 shares during the last quarter. Mizuho Securities Co. Ltd. grew its holdings in shares of JD.com by 468.8% during the 3rd quarter. Mizuho Securities Co. Ltd. now owns 1,820 shares of the information services provider’s stock valued at $53,000 after purchasing an additional 1,500 shares during the last quarter. Allspring Global Investments Holdings LLC grew its holdings in shares of JD.com by 812.1% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 1,888 shares of the information services provider’s stock valued at $52,000 after purchasing an additional 1,681 shares during the last quarter. Hexagon Capital Partners LLC bought a new stake in shares of JD.com during the 1st quarter valued at approximately $58,000. Finally, Spire Wealth Management grew its holdings in shares of JD.com by 81.3% during the 3rd quarter. Spire Wealth Management now owns 2,166 shares of the information services provider’s stock valued at $63,000 after purchasing an additional 971 shares during the last quarter. 15.98% of the stock is owned by institutional investors.

JD.com Price Performance

NASDAQ:JD opened at $30.34 on Friday. The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.90 and a current ratio of 1.16. JD.com has a 52 week low of $20.82 and a 52 week high of $41.95. The firm has a market cap of $47.85 billion, a price-to-earnings ratio of 14.24, a P/E/G ratio of 0.23 and a beta of 0.54. The firm’s 50-day simple moving average is $25.91 and its 200 day simple moving average is $25.85.

JD.com (NASDAQ:JD) last released its earnings results on Wednesday, March 6th. The information services provider reported $5.30 EPS for the quarter, beating the consensus estimate of $0.56 by $4.74. JD.com had a net margin of 2.22% and a return on equity of 10.87%. The firm had revenue of $306.08 billion for the quarter, compared to analyst estimates of $300.21 billion. During the same period last year, the firm earned $0.54 EPS. The business’s quarterly revenue was up 3.6% compared to the same quarter last year. As a group, sell-side analysts predict that JD.com will post 2.85 earnings per share for the current year.

JD.com Announces Dividend

The company also recently announced an annual dividend, which will be paid on Monday, April 29th. Shareholders of record on Friday, April 5th will be issued a $0.74 dividend. This represents a yield of 2.99%. The ex-dividend date of this dividend is Thursday, April 4th. JD.com’s dividend payout ratio is currently 34.74%.

Analysts Set New Price Targets

A number of analysts have recently issued reports on JD shares. Barclays cut their target price on shares of JD.com from $45.00 to $35.00 and set an “overweight” rating for the company in a research note on Wednesday, January 31st. JPMorgan Chase & Co. raised their target price on shares of JD.com from $25.00 to $28.00 and gave the stock a “hold” rating in a research note on Friday, April 5th. Morgan Stanley restated an “equal weight” rating and set a $27.00 target price on shares of JD.com in a research note on Thursday, April 18th. Loop Capital cut their target price on shares of JD.com from $26.00 to $24.00 and set a “hold” rating for the company in a research note on Friday, April 5th. Finally, Mizuho raised their target price on shares of JD.com from $32.00 to $33.00 and gave the stock a “buy” rating in a research note on Thursday, March 7th. Six analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat, JD.com has a consensus rating of “Moderate Buy” and an average price target of $35.60.

JD.com Company Profile

JD.com, Inc operates as a supply chain-based technology and service provider in the People's Republic of China. The company offers computers, communication, and consumer electronics products, as well as home appliances; and general merchandise products comprising food, beverage and fresh produce, baby and maternity products, furniture and household goods, cosmetics and other personal care items, pharmaceutical and healthcare products, industrial products, books, automobile accessories, apparel and footwear, bags, and jewelry.