107.46 USD
-0.39 (-0.36%)
108.8 USD
+1.34 (+1.25%)
Taking everything into account, PDD scores 8 out of 10 in our fundamental rating. PDD was compared to 30 industry peers in the Broadline Retail industry. PDD scores excellent points on both the profitability and health parts. This is a solid base for a good stock. A decent growth rate in combination with a cheap valuation! Better keep an eye on PDD. These ratings could make PDD a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
- PDD had positive earnings in the past year.
- PDD had a positive operating cash flow in the past year.
- PDD had positive earnings in 4 of the past 5 years.
- In the past 5 years PDD always reported a positive cash flow from operatings.
1.2 Ratios
- PDD's Return On Assets of 16.66% is amongst the best of the industry. PDD outperforms 100.00% of its industry peers.
- PDD's Return On Equity of 26.13% is amongst the best of the industry. PDD outperforms 90.00% of its industry peers.
- The Return On Invested Capital of PDD (19.72%) is better than 96.67% of its industry peers.
- PDD had an Average Return On Invested Capital over the past 3 years of 25.13%. This is significantly above the industry average of 9.29%.
- The last Return On Invested Capital (19.72%) for PDD is well below the 3 year average (25.13%), which needs to be investigated, but indicates that PDD had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.66% | ||
| ROE | 26.13% | ||
| ROIC | 19.72% |
ROA(3y)17.6%
ROA(5y)10.52%
ROE(3y)31.57%
ROE(5y)18.63%
ROIC(3y)25.13%
ROIC(5y)N/A
1.3 Margins
- PDD has a better Profit Margin (24.43%) than 100.00% of its industry peers.
- In the last couple of years the Profit Margin of PDD has grown nicely.
- PDD's Operating Margin of 22.10% is amongst the best of the industry. PDD outperforms 96.67% of its industry peers.
- In the last couple of years the Operating Margin of PDD has grown nicely.
- With an excellent Gross Margin value of 56.65%, PDD belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- PDD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.1% | ||
| PM (TTM) | 24.43% | ||
| GM | 56.65% |
OM growth 3Y55.36%
OM growth 5YN/A
PM growth 3Y51.14%
PM growth 5YN/A
GM growth 3Y-2.75%
GM growth 5Y-5.06%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so PDD is creating value.
- Compared to 1 year ago, PDD has more shares outstanding
- PDD has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, PDD has an improved debt to assets ratio.
2.2 Solvency
- PDD has an Altman-Z score of 5.23. This indicates that PDD is financially healthy and has little risk of bankruptcy at the moment.
- PDD has a Altman-Z score of 5.23. This is amongst the best in the industry. PDD outperforms 83.33% of its industry peers.
- PDD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.05 | ||
| Altman-Z | 5.23 |
ROIC/WACC2.32
WACC8.49%
2.3 Liquidity
- PDD has a Current Ratio of 2.36. This indicates that PDD is financially healthy and has no problem in meeting its short term obligations.
- With a decent Current ratio value of 2.36, PDD is doing good in the industry, outperforming 73.33% of the companies in the same industry.
- PDD has a Quick Ratio of 2.36. This indicates that PDD is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 2.36, PDD belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 |
3. Growth
3.1 Past
- The earnings per share for PDD have decreased by -6.46% in the last year.
- Measured over the past years, PDD shows a very strong growth in Earnings Per Share. The EPS has been growing by 106.51% on average per year.
- PDD shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.48%.
- The Revenue has been growing by 67.20% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-6.46%
EPS 3Y106.51%
EPS 5YN/A
EPS Q2Q%13.39%
Revenue 1Y (TTM)12.48%
Revenue growth 3Y61.24%
Revenue growth 5Y67.2%
Sales Q2Q%8.98%
3.2 Future
- PDD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.01% yearly.
- The Revenue is expected to grow by 10.06% on average over the next years. This is quite good.
EPS Next Y-7.99%
EPS Next 2Y2.98%
EPS Next 3Y8.12%
EPS Next 5Y7.01%
Revenue Next Year8.58%
Revenue Next 2Y11.71%
Revenue Next 3Y12.12%
Revenue Next 5Y10.06%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 10.02, the valuation of PDD can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of PDD indicates a rather cheap valuation: PDD is cheaper than 90.00% of the companies listed in the same industry.
- PDD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.54.
- Based on the Price/Forward Earnings ratio of 8.54, the valuation of PDD can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of PDD indicates a rather cheap valuation: PDD is cheaper than 86.67% of the companies listed in the same industry.
- PDD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.02 | ||
| Fwd PE | 8.54 |
4.2 Price Multiples
- PDD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PDD is cheaper than 96.67% of the companies in the same industry.
- PDD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PDD is cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.46 | ||
| EV/EBITDA | 3.29 |
4.3 Compensation for Growth
- PDD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.98%
EPS Next 3Y8.12%
5. Dividend
5.1 Amount
- No dividends for PDD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
107.46
-0.39 (-0.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)11-18 2025-11-18/bmo
Earnings (Next)03-18 2026-03-18/amc
Inst Owners32.47%
Inst Owner Change1.89%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap152.56B
Revenue(TTM)418.54B
Net Income(TTM)102.27B
Analysts78.18
Price Target147.4 (37.17%)
Short Float %8.07%
Short Ratio3.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)31.39%
Min EPS beat(2)23.91%
Max EPS beat(2)38.87%
EPS beat(4)3
Avg EPS beat(4)6.13%
Min EPS beat(4)-38.98%
Max EPS beat(4)38.87%
EPS beat(8)6
Avg EPS beat(8)23.66%
EPS beat(12)9
Avg EPS beat(12)28.68%
EPS beat(16)13
Avg EPS beat(16)52.14%
Revenue beat(2)0
Avg Revenue beat(2)-0.74%
Min Revenue beat(2)-1.11%
Max Revenue beat(2)-0.37%
Revenue beat(4)0
Avg Revenue beat(4)-3.6%
Min Revenue beat(4)-7.59%
Max Revenue beat(4)-0.37%
Revenue beat(8)2
Avg Revenue beat(8)0.27%
Revenue beat(12)5
Avg Revenue beat(12)4.85%
Revenue beat(16)8
Avg Revenue beat(16)6.7%
PT rev (1m)0%
PT rev (3m)0.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)9.93%
EPS NY rev (1m)0%
EPS NY rev (3m)10.82%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.04%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.02 | ||
| Fwd PE | 8.54 | ||
| P/S | 2.54 | ||
| P/FCF | 9.46 | ||
| P/OCF | 9.46 | ||
| P/B | 2.72 | ||
| P/tB | 2.72 | ||
| EV/EBITDA | 3.29 |
EPS(TTM)10.72
EY9.98%
EPS(NY)12.59
Fwd EY11.71%
FCF(TTM)11.36
FCFY10.57%
OCF(TTM)11.36
OCFY10.57%
SpS42.32
BVpS39.57
TBVpS39.57
PEG (NY)N/A
PEG (5Y)N/A
Graham Number97.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.66% | ||
| ROE | 26.13% | ||
| ROCE | 23.45% | ||
| ROIC | 19.72% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 22.1% | ||
| PM (TTM) | 24.43% | ||
| GM | 56.65% | ||
| FCFM | 26.85% |
ROA(3y)17.6%
ROA(5y)10.52%
ROE(3y)31.57%
ROE(5y)18.63%
ROIC(3y)25.13%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)29.87%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y55.36%
OM growth 5YN/A
PM growth 3Y51.14%
PM growth 5YN/A
GM growth 3Y-2.75%
GM growth 5Y-5.06%
F-Score5
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.05 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 118.11% | ||
| Profit Quality | 109.87% | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 | ||
| Altman-Z | 5.23 |
F-Score5
WACC8.49%
ROIC/WACC2.32
Cap/Depr(3y)30.26%
Cap/Depr(5y)54.88%
Cap/Sales(3y)0.32%
Cap/Sales(5y)0.91%
Profit Quality(3y)138.42%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.46%
EPS 3Y106.51%
EPS 5YN/A
EPS Q2Q%13.39%
EPS Next Y-7.99%
EPS Next 2Y2.98%
EPS Next 3Y8.12%
EPS Next 5Y7.01%
Revenue 1Y (TTM)12.48%
Revenue growth 3Y61.24%
Revenue growth 5Y67.2%
Sales Q2Q%8.98%
Revenue Next Year8.58%
Revenue Next 2Y11.71%
Revenue Next 3Y12.12%
Revenue Next 5Y10.06%
EBIT growth 1Y-12.1%
EBIT growth 3Y150.51%
EBIT growth 5YN/A
EBIT Next Year-14.34%
EBIT Next 3Y9.45%
EBIT Next 5Y3.08%
FCF growth 1Y34.05%
FCF growth 3Y68.03%
FCF growth 5Y52.24%
OCF growth 1Y34.05%
OCF growth 3Y61.8%
OCF growth 5Y52.42%
PDD HOLDINGS INC / PDD FAQ
What is the ChartMill fundamental rating of PDD HOLDINGS INC (PDD) stock?
ChartMill assigns a fundamental rating of 8 / 10 to PDD.
What is the valuation status of PDD HOLDINGS INC (PDD) stock?
ChartMill assigns a valuation rating of 8 / 10 to PDD HOLDINGS INC (PDD). This can be considered as Undervalued.
How profitable is PDD HOLDINGS INC (PDD) stock?
PDD HOLDINGS INC (PDD) has a profitability rating of 9 / 10.
What are the PE and PB ratios of PDD HOLDINGS INC (PDD) stock?
The Price/Earnings (PE) ratio for PDD HOLDINGS INC (PDD) is 10.02 and the Price/Book (PB) ratio is 2.72.
What is the expected EPS growth for PDD HOLDINGS INC (PDD) stock?
The Earnings per Share (EPS) of PDD HOLDINGS INC (PDD) is expected to decline by -7.99% in the next year.