Stock Rating Downgrade
Reflecting eroding fundamentals and low Appreciation Potential, the Value Trend Rating for JD.com Inc (NASDAQ: JD) fell significantly recently. JD’s current Value Trend Rating is C and the prior Rating was A. Details supporting this lower rating are included in our next report.
Recent Price Action
JD.com Inc (NASDAQ: JD) stock declined modestly by -0.5% on 9/11/20. The stock closed at $74.18. However, below average trading volume at 82% of normal accompanied the decline. The stock has declined -10.9% during the last week but has been exceptionally strong relative to the market over the last nine months.
Current PriceTarget Research Rating
With future capital returns forecasted to be above the cost of capital, JD is expected to continue to be a modest Value Builder.
JD.com has a current Value Trend Rating of C (High Neutral). This rating combines very contradictory signals from two proprietary PTR measures of a stock’s attractiveness. JD.com has a very low Appreciation Score of 7 but a very high Power Rating of 98, producing the High Neutral Value Trend Rating.