JD.COM INC-ADR (JD) Stock Fundamental Analysis
NASDAQ:JD - Nasdaq - US47215P1066 - ADR
JD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 32 industry peers in the Broadline Retail industry. There are concerns on the financial health of JD while its profitability can be described as average. JD may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year JD was profitable.
JD had a positive operating cash flow in the past year.
Of the past 5 years JD 4 years were profitable.
Each year in the past 5 years JD had a positive operating cash flow.
1.2 Ratios
The Return On Assets of JD (5.42%) is better than 64.52% of its industry peers.
JD has a better Return On Equity (15.26%) than 61.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.95%, JD is in line with its industry, outperforming 58.06% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for JD is significantly below the industry average of 11.22%.
The last Return On Invested Capital (6.95%) for JD is above the 3 year average (3.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.42% | ||
| ROE | 15.26% | ||
| ROIC | 6.95% |
ROA(3y)1.62%
ROA(5y)4.25%
ROE(3y)4.53%
ROE(5y)10.96%
ROIC(3y)3.46%
ROIC(5y)3.3%
1.3 Margins
The Profit Margin of JD (3.12%) is comparable to the rest of the industry.
JD's Profit Margin has declined in the last couple of years.
The Operating Margin of JD (3.28%) is comparable to the rest of the industry.
JD's Operating Margin has improved in the last couple of years.
JD's Gross Margin of 15.59% is on the low side compared to the rest of the industry. JD is outperformed by 93.55% of its industry peers.
In the last couple of years the Gross Margin of JD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.28% | ||
| PM (TTM) | 3.12% | ||
| GM | 15.59% |
OM growth 3Y22.95%
OM growth 5YN/A
PM growth 3Y-30.46%
PM growth 5YN/A
GM growth 3Y0.21%
GM growth 5Y0.62%
2. Health
2.1 Basic Checks
JD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for JD remains at a similar level compared to 1 year ago.
The number of shares outstanding for JD has been increased compared to 5 years ago.
Compared to 1 year ago, JD has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of JD is 1.20, which is an excellent value as it means it would take JD, only 1.20 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of JD (1.20) is better than 77.42% of its industry peers.
JD has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
JD has a Debt to Equity ratio (0.24) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.2 | ||
| Altman-Z | N/A |
ROIC/WACC0.93
WACC7.44%
2.3 Liquidity
JD has a Current Ratio of 1.17. This is a normal value and indicates that JD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.17, JD is doing worse than 70.97% of the companies in the same industry.
JD has a Quick Ratio of 1.17. This is a bad value and indicates that JD is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.90, JD is in line with its industry, outperforming 41.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 33.76% over the past year.
The earnings per share for JD have been decreasing by -21.73% on average. This is quite bad
JD shows a small growth in Revenue. In the last year, the Revenue has grown by 4.09%.
JD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.61% yearly.
EPS 1Y (TTM)33.76%
EPS 3Y-21.73%
EPS 5YN/A
EPS Q2Q%29.55%
Revenue 1Y (TTM)4.09%
Revenue growth 3Y13.3%
Revenue growth 5Y18.61%
Sales Q2Q%5.12%
3.2 Future
JD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 33.88% yearly.
Based on estimates for the next years, JD will show a small growth in Revenue. The Revenue will grow by 4.61% on average per year.
EPS Next Y46.71%
EPS Next 2Y24.57%
EPS Next 3Y16.56%
EPS Next 5Y33.88%
Revenue Next Year5.23%
Revenue Next 2Y5.39%
Revenue Next 3Y5.54%
Revenue Next 5Y4.61%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.75, which indicates a very decent valuation of JD.
JD's Price/Earnings ratio is a bit cheaper when compared to the industry. JD is cheaper than 77.42% of the companies in the same industry.
When comparing the Price/Earnings ratio of JD to the average of the S&P500 Index (28.29), we can say JD is valued rather cheaply.
The Price/Forward Earnings ratio is 8.22, which indicates a very decent valuation of JD.
Based on the Price/Forward Earnings ratio, JD is valued cheaper than 83.87% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.44. JD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 8.22 |
4.2 Price Multiples
90.32% of the companies in the same industry are more expensive than JD, based on the Enterprise Value to EBITDA ratio.
87.10% of the companies in the same industry are more expensive than JD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.13 | ||
| EV/EBITDA | 4.67 |
4.3 Compensation for Growth
JD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as JD's earnings are expected to grow with 16.56% in the coming years.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y24.57%
EPS Next 3Y16.56%
5. Dividend
5.1 Amount
JD has a Yearly Dividend Yield of 2.11%. Purely for dividend investing, there may be better candidates out there.
JD's Dividend Yield is rather good when compared to the industry average which is at 5.56. JD pays more dividend than 83.87% of the companies in the same industry.
JD's Dividend Yield is comparable with the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
5.2 History
JD has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
DPN/A
EPS Next 2Y24.57%
EPS Next 3Y16.56%
JD.COM INC-ADR
NASDAQ:JD (1/21/2025, 8:09:07 PM)
After market: 38.65 +0.15 (+0.39%)38.5
-0.5 (-1.28%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners24.12%
Inst Owner Change-0.11%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap58.91B
Analysts83.53
Price Target49.04 (27.38%)
Short Float %2.55%
Short Ratio3.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
Yearly Dividend2.15
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.35%
Min EPS beat(2)1.33%
Max EPS beat(2)3.36%
EPS beat(4)2
Avg EPS beat(4)-11.26%
Min EPS beat(4)-31.18%
Max EPS beat(4)3.36%
EPS beat(8)2
Avg EPS beat(8)-21.51%
EPS beat(12)2
Avg EPS beat(12)-22.18%
EPS beat(16)2
Avg EPS beat(16)-22.29%
Revenue beat(2)0
Avg Revenue beat(2)-2.01%
Min Revenue beat(2)-2.36%
Max Revenue beat(2)-1.66%
Revenue beat(4)1
Avg Revenue beat(4)-1.14%
Min Revenue beat(4)-2.36%
Max Revenue beat(4)0.5%
Revenue beat(8)2
Avg Revenue beat(8)-1.23%
Revenue beat(12)3
Avg Revenue beat(12)-1.18%
Revenue beat(16)5
Avg Revenue beat(16)-0.63%
PT rev (1m)3.61%
PT rev (3m)49.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.48%
EPS NY rev (1m)0%
EPS NY rev (3m)8.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.06%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 8.22 | ||
| P/S | 0.38 | ||
| P/FCF | 8.13 | ||
| P/OCF | 8.13 | ||
| P/B | 1.88 | ||
| P/tB | 2.65 | ||
| EV/EBITDA | 4.67 |
EPS(TTM)3.95
EY10.26%
EPS(NY)4.68
Fwd EY12.16%
FCF(TTM)4.74
FCFY12.31%
OCF(TTM)4.74
OCFY12.31%
SpS100.29
BVpS20.51
TBVpS14.55
PEG (NY)0.21
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.42% | ||
| ROE | 15.26% | ||
| ROCE | 9.69% | ||
| ROIC | 6.95% | ||
| ROICexc | 14.04% | ||
| ROICexgc | 21.76% | ||
| OM | 3.28% | ||
| PM (TTM) | 3.12% | ||
| GM | 15.59% | ||
| FCFM | 4.72% |
ROA(3y)1.62%
ROA(5y)4.25%
ROE(3y)4.53%
ROE(5y)10.96%
ROIC(3y)3.46%
ROIC(5y)3.3%
ROICexc(3y)8.4%
ROICexc(5y)7.81%
ROICexgc(3y)15.66%
ROICexgc(5y)13.5%
ROCE(3y)4.92%
ROCE(5y)4.67%
ROICexcg growth 3Y21.12%
ROICexcg growth 5YN/A
ROICexc growth 3Y15.62%
ROICexc growth 5YN/A
OM growth 3Y22.95%
OM growth 5YN/A
PM growth 3Y-30.46%
PM growth 5YN/A
GM growth 3Y0.21%
GM growth 5Y0.62%
F-Score5
Asset Turnover1.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.2 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 117.56% | ||
| Profit Quality | 151.36% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | N/A |
F-Score5
WACC7.44%
ROIC/WACC0.93
Cap/Depr(3y)157.42%
Cap/Depr(5y)123.25%
Cap/Sales(3y)1.09%
Cap/Sales(5y)0.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)33.76%
EPS 3Y-21.73%
EPS 5YN/A
EPS Q2Q%29.55%
EPS Next Y46.71%
EPS Next 2Y24.57%
EPS Next 3Y16.56%
EPS Next 5Y33.88%
Revenue 1Y (TTM)4.09%
Revenue growth 3Y13.3%
Revenue growth 5Y18.61%
Sales Q2Q%5.12%
Revenue Next Year5.23%
Revenue Next 2Y5.39%
Revenue Next 3Y5.54%
Revenue Next 5Y4.61%
EBIT growth 1Y34.71%
EBIT growth 3Y39.31%
EBIT growth 5YN/A
EBIT Next Year56.97%
EBIT Next 3Y25.4%
EBIT Next 5YN/A
FCF growth 1Y15.31%
FCF growth 3Y10.3%
FCF growth 5Y49.03%
OCF growth 1Y15.31%
OCF growth 3Y11.84%
OCF growth 5Y23.31%