JD.com (JD, $28.73) finally breaks its losing streak, reports revenue growth of 22%
After losing nearly 40% of its value over the past 12 months, Chinese online retailer, JD.com, finally broke out of its losing trend after the company reported its fourth-quarter earnings. The company reported annual revenue growth of 22% to $19.6 billion (134.8 billion RMB) beating estimates by $210 million, according to its latest Q4 report.
Non-GAAP net income of JD for the quarter rose 67% to 749.9 million RMB ($109.1 million), or $0.07 per ADS, which beat the estimates by $0.12. However, on a GAAP basis, its net loss widened from 0.9 billion RMB a year ago to 4.8 billion RMB ($0.7 billion), or $0.40 per ADS.
Over the past year, investors have been really concerned about the company’s performance. Compared to Q4 2017, the results of Q4 2018 showed deceleration in JD's annual growth in GMV (gross merchandise volume), active customers, and revenue.
But JD expects a revenue rise of 18% to 22% in the first quarter, matching Wall Street expectations. Its non-GAAP earnings are also likely to improve 30%, and all these indicate that JD’s growth could be stabilizing.
Moving away from its core marketplace, JD has also been diversifying its business by offering its logistics services to other retailers like the Japanese e-commerce giant Rakuten (RKUNY) along with selling more ads across its marketplace. Therefore, revenue from these high-margin services saw a 50% annual in 2018 and accounted for ~10% of its revenue, up from 8% in 2017.
Other JD.com investments include the launching of Mini Programs on Tencent’s WeChat last year, and its ever-increasing ties with Walmart (WMT) in terms of delivery services.
JD is also intensifying its Prime-like "JD Plus" subscription program, which locks in customers with discounts, curated products, VIP customer service, and access to premium digital content from partners like iQiyi.
JD's Stochastic Oscillator dives oversold zone
The Stochastic Oscillator for JD moved into oversold territory on June 20, 2025. Be on the watch for the price uptrend or consolidation in the future. At that time, consider buying the stock or exploring call options.
Technical Analysis (Indicators)
Bullish Trend Analysis
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where JD advanced for three days, in of 269 cases, the price rose further within the following month. The odds of a continued upward trend are .
JD may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on June 18, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on JD as a result. In of 104 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for JD turned negative on June 20, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 50 similar instances when the indicator turned negative. In of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 50-day moving average for JD moved below the 200-day moving average on May 30, 2025. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where JD declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.391) is normal, around the industry mean (4.166). P/E Ratio (7.663) is within average values for comparable stocks, (49.155). Projected Growth (PEG Ratio) (1.777) is also within normal values, averaging (1.412). Dividend Yield (0.032) settles around the average of (0.092) among similar stocks. P/S Ratio (0.287) is also within normal values, averaging (6.674).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. JD’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. JD’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 91, placing this stock worse than average.
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General Information
a provider of online shopping services
Industry InternetRetail
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