RADNOR, Pa., Sept. 12, 2024 (GLOBE NEWSWIRE) -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed in the United States District Court for the Eastern District of New York against PDD Holdings Inc. f/k/a Pinduoduo Inc. (“PDD”) (NASDAQ: PDD) on behalf of investors who purchased or otherwise acquired PDD securities between April 30, 2021 and June 25, 2024, inclusive (the “Class Period”) The lead plaintiff deadline is Octobe ...

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses Exceeding $100,000 In PDD To Contact Him Directly To Discuss Their OptionsIf you suffered losses exceeding $100,000 in PDD between April 30, 2021 and June 25, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).[You may also click here for additional information]NEW YORK, Sept. 12, 2024 /PRNewswire/ -- Faru ...

NEW YORK, Sept. 12, 2024 /PRNewswire/ -- The Gross Law Firm issues the following notice to shareholders of PDD Holdings Inc. f/k/a Pinduoduo Inc. (NASDAQ: PDD).Shareholders who purchased shares of PDD during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.CONTACT US HERE:https://securitiesclasslaw.com/securities/pdd-holdings-inc-f-k-a-pinduoduo-inc-loss-submission-form/?id=10189 ...

PDD Holdings (PDD) saw its stock taking a significant hit in the past month, plunging 34.7% due to growing macro headwinds. Uncertainties in the global environment, changing consumption patterns, recessionary fears, market volatility and challenging conditions in China's economy have been taking a toll on the PDD stock.The company’s loss compares unfavorably with the industry’s decline of 9.1% and the S&P 500 index’s rally of 2% in the past month.PDD Holdings also faces stiff competition in the domestic and ...

The company needs to overcome these hurdles to keep its growth machine spinning.PDD Holdings (PDD 0.65%) has been the best-performing Chinese tech company in the last 12 months -- until lately. Despite reporting solid quarterly earnings, stock in Pinduoduo's parent company plunged by more than 30% as investors sold it amid the company's pessimistic guidance on its prospects.Still, contrarian investors and PDD Holdings bulls are taking this sell-off to buy the stock on the cheap. But before they rush into lo ...

Investment Rating - The report maintains a "Buy" rating for Pinduoduo (PDD) with a 6-month outlook [1] Core Views - Pinduoduo's Q2 2024 revenue grew 86% YoY to 97.1 billion RMB, slightly below Bloomberg consensus by 3% [1] - Non-GAAP adjusted net profit surged 125.5% YoY to 34.43 billion RMB, exceeding Bloomberg consensus [1] - Marketing service revenue increased 29% YoY to 49.12 billion RMB, while transaction service revenue jumped 234% YoY to 47.94 billion RMB, driven by Temu's overseas expansion [1] - The company's Non-GAAP net margin reached 35.5%, attributed to effective cost control and operational efficiency improvements [1] Revenue Breakdown - Marketing service revenue growth slowed to 29% YoY, below market expectations, due to macroeconomic weakness and intense Q2 e-commerce competition [2] - Transaction service revenue growth of 234% YoY was slightly below market consensus, impacted by increased subsidies and competitive pressures [2] Strategic Focus - Pinduoduo is prioritizing GMV growth and increasing supply-side investments to address industry competition, which may temporarily affect monetization rates [2] - The company plans to invest in high-quality supply chains, offering 10 billion RMB in transaction fee reductions for quality merchants and simplifying merchant onboarding processes [2] - Management emphasized long-term healthy development, with no immediate plans for share buybacks or dividends [2] Temu's Contribution - Temu's semi-hosted model, launched in North America and expanded to Europe, Japan, and South Korea, is improving overseas unit economics and increasing large-item SKU availability [3] - The semi-hosted model shifts warehousing, shipping, and return responsibilities to merchants, enhancing profitability [3] Financial Forecasts - Revenue forecasts for 2024 and 2025 were revised downward to 3.99 trillion RMB and 4.863 trillion RMB, representing YoY growth of 61% and 22%, respectively [3] - Non-GAAP net profit estimates for 2024 and 2025 were adjusted to 1.282 trillion RMB and 1.553 trillion RMB, reflecting YoY growth of 89% and 21% [3] - The stock's PE ratio stands at 7X for 2024 and 6X for 2025 based on the September 6 closing price [3]

Investment Rating - Pinduoduo's investment rating is not explicitly mentioned in the report, but the analysis suggests a mixed outlook with both positive and negative factors influencing its future performance [3][4][5][6] Core Views - Pinduoduo's Q2 2024 revenue grew by 86% YoY to RMB 970.6 billion, slightly missing expectations by 3%, while adjusted net profit surged by 125% YoY to RMB 344.3 billion, beating expectations by 14% [3] - Domestic online advertising revenue growth slowed to 29.5% YoY, down from 55.8% in the previous quarter, indicating potential challenges in maintaining its dominant position against competitors like Alibaba and JD.com [3] - Temu, Pinduoduo's international platform, faces geopolitical risks and intense competition, with recent legal challenges from Shein adding to uncertainties [3] - Management has indicated a willingness to sacrifice short-term profitability for long-term growth, suggesting potential margin pressures ahead [3][4] Business Performance and Strategy Domestic Operations - Pinduoduo's main platform is focusing on increasing merchant rebates and GMV growth, with online marketing revenue growing by 29% YoY in Q2 2024, outperforming market expectations [8] - The company plans to invest RMB 100 billion over the next 12 months to support merchant onboarding and product listings, aiming to reduce software service fees and improve ecosystem governance [8] - Duoduo Maicai, Pinduoduo's grocery business, has achieved nationwide profitability, with a shift in focus from reducing losses to growth, leading to a rebound in daily order volumes to 40-45 million orders [8] International Operations (Temu) - Temu's growth is facing headwinds from geopolitical risks, regulatory challenges, and increasing competition, with profitability expected to decline [9] - The semi-hosted model is gaining traction in the US, Europe, Japan, and South Korea, but merchant adoption remains limited due to uncertainties around pricing and inventory management [9] - Temu is tightening merchant entry requirements and implementing stricter penalties to improve platform quality, aiming for a healthier operating environment by 2025 [9] Market Sentiment and Investor Views Positive Views - Pinduoduo's core business operations remain strong, with growth in its main platform, Temu, and Duoduo Maicai [5] - Historical patterns suggest that management may be managing expectations, and the lack of dividends or buybacks is attributed to ongoing investments in growth [5] - Despite competitive pressures, Pinduoduo's valuation is now on par with Alibaba and JD.com, reflecting its strong performance [5] Negative Views - Concerns over opaque disclosures and management's perceived arrogance, particularly regarding contradictory statements and the lack of shareholder returns [6] - Temu's regulatory risks and domestic policy challenges, including the "anti-internalization" wave, pose significant threats [6] - Pessimistic investors are wary of potential changes in the competitive landscape and the impact of aggressive investment strategies on long-term visibility [13] Industry and Peer Comparison - Pinduoduo's Q2 2024 revenue growth of 85.7% YoY significantly outperformed peers like Alibaba (3.9% YoY) and JD.com (1.2% YoY), but its forward PE ratio of 7.0 is lower than both Alibaba (8.7) and JD.com (7.1) [15] - The internet sector is highly fragmented, with Pinduoduo's valuation now lower than that of Alibaba, JD.com, and Baidu, reflecting market concerns over its future growth trajectory [14] Institutional Investor Activity - Pinduoduo was the most-bought Chinese stock by institutional investors in Q2 2024, with 147 new institutional investors and 269 increasing their holdings, while the number of institutions reducing or exiting positions declined [17]

What's bad for Temu is theoretically a boon for the U.S. retail giant.It was a tale of two big etailers on the stock exchange Monday. Sturdy American sector giant Amazon (AMZN 2.34%) ended the day up more than 2% in price, while Chinese discount goods retailer PDD Holdings (PDD -0.90%) slid by nearly 1%. The bellwether S&P 500 index, meanwhile, improved by slightly more than 1%.Temu growth slowingMuch of this stemmed from a new analysis on PDD from Bank of America. The lender concluded that the growth of Te ...

NEW YORK, Sept. 09, 2024 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP reminds investors of the October 15, 2024 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed on behalf of those who who acquired PDD Holdings Inc. f/k/a Pinduoduo Inc. (“PDD” or the “Company”) (NASDAQ: PDD) securities during the period of April 30, 2021 through June 25, 2024, inclusive (“the Class Period”). [Click here to learn more about the class action] On March 21, 2023, Reu ...

NEW YORK, Sept. 9, 2024 /PRNewswire/ -- The Gross Law Firm issues the following notice to shareholders of PDD Holdings Inc. f/k/a Pinduoduo Inc. (NASDAQ: PDD).Shareholders who purchased shares of PDD during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.CONTACT US HERE:https://securitiesclasslaw.com/securities/pdd-holdings-inc-f-k-a-pinduoduo-inc-loss-submission-form/?id=100762 ...