{"id":4031,"date":"2026-03-17T15:18:06","date_gmt":"2026-03-17T15:18:06","guid":{"rendered":"https:\/\/tradertideinsights.com\/?p=4031"},"modified":"2026-03-17T15:18:06","modified_gmt":"2026-03-17T15:18:06","slug":"pdd-holdings-stock-becomes-a-bargain-before-earnings-buy-or-sell","status":"publish","type":"post","link":"https:\/\/tradertideinsights.com\/?p=4031","title":{"rendered":"PDD Holdings stock becomes a bargain before earnings: buy or sell?"},"content":{"rendered":"
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PDD Holdings stock price remains under pressure this week as traders focus on the upcoming financial results. <\/p>\n

Its ADR was trading at $103 on Monday, down by 37% from its highest level in May. <\/p>\n

So, will the stock rebound now that it has become a bargain?<\/p>\n

PDD Holdings has become a bargain ahead of earnings <\/h2>\n

PDD Holdings is a top company in the e-commerce industry. <\/p>\n

It is a popular brand in China, where it owns Pinduoduo, a popular social commerce platform.<\/p>\n

Internationally, the company is known for Temu, a popular e-commerce company known for selling cheap Chinese products.<\/p>\n

PDD Holdings stock has retreated sharply from its highest point in 2024 as it has moved from one crisis to another. <\/p>\n

It faced a major challenge last year when Donald Trump launched his trade war, which ended de minimis, <\/em>a provision that allowed foreign companies to ship products under $800 to the United States without paying taxes. <\/p>\n

There are also signs that Temu\u2019s growth has stalled, partly because of the end of de minimis<\/em><\/a> and the slash in its marketing spending. <\/p>\n

Data compiled by SimilarWeb<\/a> shows that Temu’s traffic dropped by 22% in February to 1.179 billion.<\/p>\n

The most recent results showed that PDD Holdings’ business continued to slow down in the third quarter. <\/p>\n

Its revenue came in at $15.2 billion in the third quarter, up by 9% YoY, with the company pointing to the competitive environment.<\/p>\n

On the positive side, the company\u2019s profitability grew in the third quarter as the company slashed its marketing spending. <\/p>\n

It made RMB 29 billion in net income, up by 17% from what it made in the same period last year.<\/p>\n

Wall Street analysts expect the upcoming results to show that the company\u2019s fourth quarter revenue will be CNY 124 billion, up by 12.9%. <\/p>\n

This revenue will bring its annual figure to over CNY 432 billion, up by 9.75%.<\/p>\n

On the positive side, the company has become a bargain, especially because of its strong market share and balance sheet. <\/p>\n

It ended the last quarter with nearly $60 billion in cash and equivalent, a notable amount for a company with a market capitalisation of over $147 billion.<\/p>\n

PDD trades at a forward price-to-earnings (PE) ratio of 9.36, much lower than the sector median of 14. <\/p>\n

Its five-year average is 62, meaning that the company has become a significant bargain.<\/p>\n

Also, the forward EV-to-EBITDA has moved to 5.87, lower than the sector median of 9.37.<\/p>\n

PDD Holdings stock price technical analysis <\/h2>\n
<\/figure>\n

PDD share price chart<\/a> | Source: TradingView\u00a0<\/em><\/p>\n

The weekly chart shows that the PDD share price has slumped in the past few months, moving from a high of $164 in May 2024 to the current $103.<\/p>\n

It has dropped below the ascending trendline that connects the lowest swings in May 2022, April 2025, and January 2025. <\/p>\n

Moving below that level is a sign that bears have prevailed.<\/p>\n

The stock has also formed a head-and-shoulders pattern and is now near the neckline. <\/p>\n

It has moved to the Ultimate Support level of the Murrey Math Lines tool.<\/p>\n

PDD Holdings has also dropped below the 100-week Exponential Moving Average.<\/p>\n

Therefore, the stock will likely continue falling despite its low valuation. <\/p>\n

If this happens, the next key target to watch will be at the extremely oversold level of the Murrey Math Lines tool at $88.<\/p>\n

The post PDD Holdings stock becomes a bargain before earnings: buy or sell?<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

PDD Holdings stock price remains under pressure this week as traders focus on the upcoming financial results. Its ADR was trading at $103 on Monday, down by 37% from its highest level in May. So, will the stock rebound now that it has become a bargain?PDD Holdings has become a bargain ahead of earnings PDD Holdings…<\/p>\n","protected":false},"author":1,"featured_media":4032,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-4031","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts\/4031","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4031"}],"version-history":[{"count":0,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts\/4031\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/media\/4032"}],"wp:attachment":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4031"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4031"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4031"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}