PDD (NASDAQ:PDD) Shares Gap Up – Should You Buy?

Shares of PDD Holdings Inc. Sponsored ADR (NASDAQ:PDD) gapped up before the market opened on Friday . The stock had previously closed at $122.96, but opened at $127.48. PDD shares last traded at $127.34, with a volume of 5,519,472 shares traded.

Analyst Ratings Changes

Several brokerages have recently commented on PDD. Jefferies Financial Group set a $121.00 price target on PDD and gave the stock a “buy” rating in a research note on Tuesday, May 27th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $112.00 price target on shares of PDD in a research note on Wednesday, May 28th. Benchmark decreased their price target on PDD from $160.00 to $128.00 and set a “buy” rating on the stock in a research note on Wednesday, May 28th. JPMorgan Chase & Co. decreased their price target on PDD from $125.00 to $105.00 and set a “neutral” rating on the stock in a research note on Wednesday, May 28th. Finally, Citigroup raised PDD from a “neutral” rating to a “buy” rating and boosted their price target for the stock from $127.00 to $165.00 in a research note on Monday, May 12th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $144.55.

PDD Trading Up 3.4%

The stock’s 50 day moving average price is $110.35 and its two-hundred day moving average price is $111.04. The firm has a market capitalization of $176.96 billion, a PE ratio of 13.68, a PEG ratio of 1.81 and a beta of 0.42.

PDD (NASDAQ:PDD) last issued its quarterly earnings data on Tuesday, May 27th. The company reported $1.37 earnings per share for the quarter, missing analysts’ consensus estimates of $2.25 by ($0.88). PDD had a return on equity of 33.76% and a net margin of 24.63%.The business had revenue of $13.19 billion for the quarter, compared to analysts’ expectations of $103.37 billion. During the same period last year, the business earned $20.72 earnings per share. The company’s revenue for the quarter was up 10.2% on a year-over-year basis. Analysts expect that PDD Holdings Inc. Sponsored ADR will post 10.24 earnings per share for the current year.

Hedge Funds Weigh In On PDD

Several institutional investors and hedge funds have recently modified their holdings of the company. Marex Group plc purchased a new position in shares of PDD during the second quarter valued at approximately $12,418,000. Nomura Holdings Inc. lifted its stake in shares of PDD by 67.1% during the second quarter. Nomura Holdings Inc. now owns 173,637 shares of the company’s stock valued at $18,173,000 after buying an additional 69,728 shares during the period. National Bank of Canada FI lifted its stake in shares of PDD by 536.7% during the second quarter. National Bank of Canada FI now owns 1,811,137 shares of the company’s stock valued at $189,554,000 after buying an additional 1,526,695 shares during the period. Public Sector Pension Investment Board lifted its stake in shares of PDD by 38.0% during the second quarter. Public Sector Pension Investment Board now owns 445,830 shares of the company’s stock valued at $46,661,000 after buying an additional 122,878 shares during the period. Finally, Keel Point LLC purchased a new stake in PDD in the 2nd quarter valued at about $446,000. Hedge funds and other institutional investors own 39.83% 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.