Chinese e-commerce giant JD.com Inc. (NASDAQ:JD) looks well-positioned going into its third-quarter results on Thursday, as it comes off a better-than-expected Singles’ Day shopping performance.
Positive Singles’ Day Sales Data
The company reported a record 11.11. Singles’ Day haul with the number of customers making purchases during the unofficial Chinese holiday surging 40% year-over-year, and total order volumes up 60%, despite growing deflationary concerns in China.
Fund manager Brendan Ahern of KraneShares noted in a post on X that while the company didn’t provide a comprehensive, granular breakdown of its performance during the holiday, the results are “positive nonetheless.”
History of Upside Earnings Surprises
Leading analysts are highlighting the company’s history of surprising the markets with handy beats on consensus estimates, hinting at something similar yet again.
Investor Brian Coughlin of Coughlin Capital said, “It's worth noting their history of steady upside surprises on both revenue and EPS,” in a post on X, while sharing the chart showing the company’s steady streak of beats on estimates going as far back as 2021.
Another prominent X account, The Long Investor, noted that the company has, in fact, not missed estimates since mid-2018, which is a remarkable feat considering the sheer scale of disruptive geopolitical and macroeconomic events the global economy has seen since then.
The post also notes that the stock’s fundamentals and technicals all point towards it moving higher, but this would ultimately depend on whether the market acknowledges the same.
Shares of JD.com were down 1.14% on Wednesday, closing at $31.25, and are up 2.50% overnight, ahead of the company’s third-quarter results. The stock scores high on Value and Growth in Benzinga’s Edge Stock Rankings, with an unfavorable price trend in the short, medium and long terms. Click here for deeper insights into the stock, its peers and competitors.
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