A Look At JD.com (NasdaqGS:JD) Valuation As Joybuy And JoyExpress Expand Into Europe
JD.com (NasdaqGS:JD) has drawn fresh attention after announcing JoyExpress, a dedicated express delivery network in Europe that will support its upcoming Joybuy online retail launch across key EU markets.
See our latest analysis for JD.com.
Despite the Joybuy and JoyExpress expansion, JD.com’s share price return has been weak, with a 30 day share price return decline of 5.16% and a 1 year total shareholder return decline of 28.04%, suggesting sentiment has softened even as its international push and buybacks reshape the story.
If this European expansion has you thinking about other ways to gain exposure to technology driven growth, now could be a time to scan 34 AI infrastructure stocks as a fresh set of ideas.
With JD.com trading at US$27.41 and sitting at a reported intrinsic and analyst target discount of around 47%, you have to ask: is this genuinely mispriced value, or is the market already factoring in its future growth?
Most Popular Narrative: 66.8% Undervalued
According to the most followed narrative on JD.com, the fair value sits at $82.68 versus the last close of $27.41, which sets up a very wide gap for long term holders to consider.
2025 Projections: Revenue growth of 12-15% YoY[7], driven by appliance subsidies and food delivery expansion; net margin to 3.6-4.0%[11].
Read the complete narrative. Read the complete narrative.
Want to see what kind of revenue curve and margin profile might support that valuation gap? The narrative leans on higher efficiency and stronger profitability assumptions. The full breakdown shows how those inputs stack up over several years.
Result: Fair Value of $82.68 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, you also have to weigh risks such as weaker Chinese consumer spending or tighter subsidies, which could leave those projected margins and revenue growth looking too optimistic.
Find out about the key risks to this JD.com narrative.
Next Steps
If this mix of risks and upside has you on the fence, take a moment now to review the full picture, including 3 key rewards and 1 important warning sign.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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