PDD HOLDINGS INC (PDD) Stock Fundamental Analysis
USA - NASDAQ:PDD - US7223041028 - ADR
135.78 USD
-0.96 (-0.7%)
136.1 USD
+0.32 (+0.24%)
PDD gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 30 industry peers in the Broadline Retail industry. PDD gets an excellent profitability rating and is at the same time showing great financial health properties. PDD has a correct valuation and a medium growth rate. This makes PDD very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year PDD was profitable.
PDD had a positive operating cash flow in the past year.
PDD had positive earnings in 4 of the past 5 years.
PDD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 17.27%, PDD belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 27.06%, PDD belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
PDD has a Return On Invested Capital of 21.14%. This is amongst the best in the industry. PDD outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PDD is significantly above the industry average of 10.39%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.27% | ||
| ROE | 27.06% | ||
| ROIC | 21.14% |
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's Profit Margin of 23.91% is amongst the best of the industry. PDD outperforms 100.00% of its industry peers.
PDD's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 22.40%, PDD belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
PDD's Operating Margin has improved in the last couple of years.
The Gross Margin of PDD (57.45%) is better than 83.33% of its industry peers.
PDD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.4% | ||
| PM (TTM) | 23.91% | ||
| GM | 57.45% |
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
PDD has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, PDD has more shares outstanding
PDD has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PDD has been reduced compared to a year ago.
2.2 Solvency
PDD has an Altman-Z score of 6.42. This indicates that PDD is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of PDD (6.42) is better than 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 | 0.06 | ||
| Altman-Z | 6.42 |
ROIC/WACC2.59
WACC8.17%
2.3 Liquidity
A Current Ratio of 2.36 indicates that PDD has no problem at all paying its short term obligations.
PDD has a Current ratio of 2.36. This is in the better half of the industry: PDD outperforms 76.67% of its industry peers.
A Quick Ratio of 2.36 indicates that PDD has no problem at all paying its short term obligations.
PDD has a Quick ratio of 2.36. This is amongst the best in the industry. PDD outperforms 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 |
3. Growth
3.1 Past
PDD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.92%.
The Earnings Per Share has been growing by 106.51% on average over the past years. This is a very strong growth
PDD shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.92%.
PDD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 67.20% yearly.
EPS 1Y (TTM)-0.92%
EPS 3Y106.51%
EPS 5YN/A
EPS Q2Q%-5.03%
Revenue 1Y (TTM)19.92%
Revenue growth 3Y61.24%
Revenue growth 5Y67.2%
Sales Q2Q%7.14%
3.2 Future
Based on estimates for the next years, PDD will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.72% on average per year.
PDD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.74% yearly.
EPS Next Y-16.22%
EPS Next 2Y1.29%
EPS Next 3Y7.16%
EPS Next 5Y8.72%
Revenue Next Year7.58%
Revenue Next 2Y11.33%
Revenue Next 3Y12%
Revenue Next 5Y7.74%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 13.39 indicates a correct valuation of PDD.
Based on the Price/Earnings ratio, PDD is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of PDD to the average of the S&P500 Index (26.06), we can say PDD is valued slightly cheaper.
A Price/Forward Earnings ratio of 11.39 indicates a reasonable valuation of PDD.
83.33% of the companies in the same industry are more expensive than PDD, based on the Price/Forward Earnings ratio.
PDD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 32.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.39 | ||
| Fwd PE | 11.39 |
4.2 Price Multiples
PDD's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PDD is cheaper than 80.00% of the companies in the same industry.
66.67% of the companies in the same industry are more expensive than PDD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.57 | ||
| EV/EBITDA | 7.06 |
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 2Y1.29%
EPS Next 3Y7.16%
5. Dividend
5.1 Amount
No dividends for PDD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
135.78
-0.96 (-0.7%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners31.53%
Inst Owner Change-1.88%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap192.76B
Revenue(TTM)409.62B
Net Income(TTM)97.92B
Analysts77.78
Price Target147.05 (8.3%)
Short Float %6.74%
Short Ratio2.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)1
Avg EPS beat(2)-0.05%
Min EPS beat(2)-38.98%
Max EPS beat(2)38.87%
EPS beat(4)2
Avg EPS beat(4)-1.6%
Min EPS beat(4)-38.98%
Max EPS beat(4)38.87%
EPS beat(8)6
Avg EPS beat(8)24.68%
EPS beat(12)9
Avg EPS beat(12)33.52%
EPS beat(16)13
Avg EPS beat(16)135.09%
Revenue beat(2)0
Avg Revenue beat(2)-3.98%
Min Revenue beat(2)-7.59%
Max Revenue beat(2)-0.37%
Revenue beat(4)0
Avg Revenue beat(4)-4.3%
Min Revenue beat(4)-7.59%
Max Revenue beat(4)-0.37%
Revenue beat(8)3
Avg Revenue beat(8)3.55%
Revenue beat(12)6
Avg Revenue beat(12)6.1%
Revenue beat(16)8
Avg Revenue beat(16)5.54%
PT rev (1m)0.41%
PT rev (3m)11.32%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)9.22%
EPS NY rev (1m)0.91%
EPS NY rev (3m)14.98%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.39 | ||
| Fwd PE | 11.39 | ||
| P/S | 3.35 | ||
| P/FCF | 14.57 | ||
| P/OCF | 14.57 | ||
| P/B | 3.79 | ||
| P/tB | 3.79 | ||
| EV/EBITDA | 7.06 |
EPS(TTM)10.14
EY7.47%
EPS(NY)11.92
Fwd EY8.78%
FCF(TTM)9.32
FCFY6.86%
OCF(TTM)9.32
OCFY6.86%
SpS40.52
BVpS35.8
TBVpS35.79
PEG (NY)N/A
PEG (5Y)N/A
Graham Number90.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.27% | ||
| ROE | 27.06% | ||
| ROCE | 25.13% | ||
| ROIC | 21.14% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 22.4% | ||
| PM (TTM) | 23.91% | ||
| GM | 57.45% | ||
| FCFM | 23% |
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-Score4
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.06 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.81% | ||
| Profit Quality | 96.23% | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 | ||
| Altman-Z | 6.42 |
F-Score4
WACC8.17%
ROIC/WACC2.59
Cap/Depr(3y)32.05%
Cap/Depr(5y)64.52%
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)-0.92%
EPS 3Y106.51%
EPS 5YN/A
EPS Q2Q%-5.03%
EPS Next Y-16.22%
EPS Next 2Y1.29%
EPS Next 3Y7.16%
EPS Next 5Y8.72%
Revenue 1Y (TTM)19.92%
Revenue growth 3Y61.24%
Revenue growth 5Y67.2%
Sales Q2Q%7.14%
Revenue Next Year7.58%
Revenue Next 2Y11.33%
Revenue Next 3Y12%
Revenue Next 5Y7.74%
EBIT growth 1Y-5.97%
EBIT growth 3Y150.51%
EBIT growth 5YN/A
EBIT Next Year-20.02%
EBIT Next 3Y9.06%
EBIT Next 5Y1.83%
FCF growth 1Y49.72%
FCF growth 3Y68.03%
FCF growth 5Y52.23%
OCF growth 1Y49.72%
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 7 / 10 to PDD.
Can you provide the valuation status for PDD HOLDINGS INC?
ChartMill assigns a valuation rating of 6 / 10 to PDD HOLDINGS INC (PDD). This can be considered as Fairly Valued.
How profitable is PDD HOLDINGS INC (PDD) stock?
PDD HOLDINGS INC (PDD) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for PDD stock?
The Earnings per Share (EPS) of PDD HOLDINGS INC (PDD) is expected to decline by -16.22% in the next year.