JD.COM INC-ADR (JD) Stock Fundamental Analysis
USA - NASDAQ:JD - US47215P1066 - ADR
31.79 USD
-0.16 (-0.5%)
31.85 USD
+0.06 (+0.19%)
Overall JD gets a fundamental rating of 5 out of 10. We evaluated JD against 30 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 scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year JD was profitable.
In the past year JD had a positive cash flow from operations.
JD had positive earnings in 4 of the past 5 years.
Each year in the past 5 years JD had a positive operating cash flow.
1.2 Ratios
JD's Return On Assets of 5.47% is fine compared to the rest of the industry. JD outperforms 63.33% of its industry peers.
The Return On Equity of JD (17.02%) is better than 76.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.42%, JD is in line with its industry, outperforming 50.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for JD is below the industry average of 10.39%.
The last Return On Invested Capital (6.42%) for JD is above the 3 year average (6.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 17.02% | ||
| ROIC | 6.42% |
ROA(3y)3.84%
ROA(5y)4.5%
ROE(3y)10.86%
ROE(5y)11.44%
ROIC(3y)6.16%
ROIC(5y)4.58%
1.3 Margins
JD has a better Profit Margin (3.06%) than 63.33% of its industry peers.
JD's Profit Margin has improved in the last couple of years.
JD has a Operating Margin (2.44%) which is in line with its industry peers.
JD's Operating Margin has improved in the last couple of years.
JD's Gross Margin of 16.02% is on the low side compared to the rest of the industry. JD is outperformed by 93.33% of its industry peers.
JD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.44% | ||
| PM (TTM) | 3.06% | ||
| GM | 16.02% |
OM growth 3Y112.76%
OM growth 5Y30.98%
PM growth 3YN/A
PM growth 5Y11.06%
GM growth 3Y5.37%
GM growth 5Y1.63%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so JD is destroying value.
Compared to 1 year ago, JD has less shares outstanding
JD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for JD is higher compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of JD is 2.89, which is a good value as it means it would take JD, 2.89 years of fcf income to pay off all of its debts.
JD has a Debt to FCF ratio of 2.89. This is in the better half of the industry: JD outperforms 76.67% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that JD is not too dependend on debt financing.
JD has a Debt to Equity ratio (0.25) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.89 | ||
| Altman-Z | N/A |
ROIC/WACC0.85
WACC7.53%
2.3 Liquidity
JD has a Current Ratio of 1.22. This is a normal value and indicates that JD is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.22, JD is not doing good in the industry: 73.33% of the companies in the same industry are doing better.
JD has a Quick Ratio of 1.22. This is a bad value and indicates that JD is not financially healthy enough and could expect problems in meeting its short term obligations.
JD has a worse Quick ratio (0.90) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.10% over the past year.
Measured over the past years, JD shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.75% on average per year.
Looking at the last year, JD shows a quite strong growth in Revenue. The Revenue has grown by 14.47% in the last year.
Measured over the past years, JD shows a quite strong growth in Revenue. The Revenue has been growing by 14.97% on average per year.
EPS 1Y (TTM)9.1%
EPS 3Y42.56%
EPS 5Y26.75%
EPS Q2Q%-47.01%
Revenue 1Y (TTM)14.47%
Revenue growth 3Y6.79%
Revenue growth 5Y14.97%
Sales Q2Q%22.4%
3.2 Future
Based on estimates for the next years, JD will show a very strong growth in Earnings Per Share. The EPS will grow by 24.90% on average per year.
The Revenue is expected to grow by 5.75% on average over the next years.
EPS Next Y-33.38%
EPS Next 2Y-3.3%
EPS Next 3Y5.76%
EPS Next 5Y24.9%
Revenue Next Year14.65%
Revenue Next 2Y10.09%
Revenue Next 3Y8.6%
Revenue Next 5Y5.75%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
JD is valuated cheaply with a Price/Earnings ratio of 7.50.
JD's Price/Earnings ratio is rather cheap when compared to the industry. JD is cheaper than 93.33% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.83, JD is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.59, the valuation of JD can be described as very cheap.
Based on the Price/Forward Earnings ratio, JD is valued cheaply inside the industry as 96.67% of the companies are valued more expensively.
JD is valuated cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.5 | ||
| Fwd PE | 7.59 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than JD, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, JD is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.22 | ||
| EV/EBITDA | 2.28 |
4.3 Compensation for Growth
JD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.28
EPS Next 2Y-3.3%
EPS Next 3Y5.76%
5. Dividend
5.1 Amount
JD has a yearly dividend return of 0.44%, which is pretty low.
JD's Dividend Yield is a higher than the industry average which is at 11.13.
With a Dividend Yield of 0.44, JD pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
5.2 History
JD has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
DPN/A
EPS Next 2Y-3.3%
EPS Next 3Y5.76%
31.79
-0.16 (-0.5%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners25.94%
Inst Owner Change-0.33%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap46.08B
Revenue(TTM)1.27T
Net Income(TTM)38.65B
Analysts84.44
Price Target45.76 (43.94%)
Short Float %1.91%
Short Ratio1.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
Yearly Dividend0.79
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.01%
Min EPS beat(2)-30.88%
Max EPS beat(2)-9.14%
EPS beat(4)2
Avg EPS beat(4)-7.34%
Min EPS beat(4)-30.88%
Max EPS beat(4)7.31%
EPS beat(8)3
Avg EPS beat(8)-13.68%
EPS beat(12)3
Avg EPS beat(12)-19.26%
EPS beat(16)3
Avg EPS beat(16)-19.18%
Revenue beat(2)2
Avg Revenue beat(2)2.91%
Min Revenue beat(2)1.63%
Max Revenue beat(2)4.18%
Revenue beat(4)3
Avg Revenue beat(4)1.9%
Min Revenue beat(4)-2.36%
Max Revenue beat(4)4.18%
Revenue beat(8)4
Avg Revenue beat(8)0.42%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)6
Avg Revenue beat(16)-0.29%
PT rev (1m)2.11%
PT rev (3m)1.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-35.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-38.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)4.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.5 | ||
| Fwd PE | 7.59 | ||
| P/S | 0.26 | ||
| P/FCF | 13.22 | ||
| P/OCF | 13.22 | ||
| P/B | 1.44 | ||
| P/tB | 2.09 | ||
| EV/EBITDA | 2.28 |
EPS(TTM)4.24
EY13.34%
EPS(NY)4.19
Fwd EY13.17%
FCF(TTM)2.41
FCFY7.57%
OCF(TTM)2.41
OCFY7.57%
SpS122.59
BVpS22.01
TBVpS15.22
PEG (NY)N/A
PEG (5Y)0.28
Graham Number45.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 17.02% | ||
| ROCE | 8.02% | ||
| ROIC | 6.42% | ||
| ROICexc | 14.48% | ||
| ROICexgc | 24.59% | ||
| OM | 2.44% | ||
| PM (TTM) | 3.06% | ||
| GM | 16.02% | ||
| FCFM | 1.96% |
ROA(3y)3.84%
ROA(5y)4.5%
ROE(3y)10.86%
ROE(5y)11.44%
ROIC(3y)6.16%
ROIC(5y)4.58%
ROICexc(3y)14.68%
ROICexc(5y)11.07%
ROICexgc(3y)26.77%
ROICexgc(5y)19.28%
ROCE(3y)7.82%
ROCE(5y)5.8%
ROICexgc growth 3Y94.13%
ROICexgc growth 5Y23.51%
ROICexc growth 3Y86.93%
ROICexc growth 5Y21.7%
OM growth 3Y112.76%
OM growth 5Y30.98%
PM growth 3YN/A
PM growth 5Y11.06%
GM growth 3Y5.37%
GM growth 5Y1.63%
F-Score7
Asset Turnover1.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.89 | ||
| Debt/EBITDA | 1.42 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.48% | ||
| Profit Quality | 64.21% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | N/A |
F-Score7
WACC7.53%
ROIC/WACC0.85
Cap/Depr(3y)108.05%
Cap/Depr(5y)124.04%
Cap/Sales(3y)0.79%
Cap/Sales(5y)0.89%
Profit Quality(3y)262.86%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.1%
EPS 3Y42.56%
EPS 5Y26.75%
EPS Q2Q%-47.01%
EPS Next Y-33.38%
EPS Next 2Y-3.3%
EPS Next 3Y5.76%
EPS Next 5Y24.9%
Revenue 1Y (TTM)14.47%
Revenue growth 3Y6.79%
Revenue growth 5Y14.97%
Sales Q2Q%22.4%
Revenue Next Year14.65%
Revenue Next 2Y10.09%
Revenue Next 3Y8.6%
Revenue Next 5Y5.75%
EBIT growth 1Y-9.08%
EBIT growth 3Y127.2%
EBIT growth 5Y50.59%
EBIT Next Year-18.18%
EBIT Next 3Y17.49%
EBIT Next 5YN/A
FCF growth 1Y-52.76%
FCF growth 3Y21.74%
FCF growth 5Y19.82%
OCF growth 1Y-52.76%
OCF growth 3Y11.16%
OCF growth 5Y18.58%
JD.COM INC-ADR / JD FAQ
What is the fundamental rating for JD stock?
ChartMill assigns a fundamental rating of 5 / 10 to JD.
What is the valuation status for JD stock?
ChartMill assigns a valuation rating of 7 / 10 to JD.COM INC-ADR (JD). This can be considered as Undervalued.
What is the profitability of JD stock?
JD.COM INC-ADR (JD) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for JD stock?
The Price/Earnings (PE) ratio for JD.COM INC-ADR (JD) is 7.5 and the Price/Book (PB) ratio is 1.44.
What is the expected EPS growth for JD.COM INC-ADR (JD) stock?
The Earnings per Share (EPS) of JD.COM INC-ADR (JD) is expected to decline by -33.38% in the next year.