Should You Investigate JD.com, Inc. (NASDAQ:JD) At US$80.00?
NASDAQ:JD) saw a significant share price rise of over 20% in the past couple of months on the NASDAQGS. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock. However, could the stock still be trading at a relatively cheap price? Let’s examine JD.com’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.” data-reactid=”28″>JD.com, Inc. (NASDAQ:JD) saw a significant share price rise of over 20% in the past couple of months on the NASDAQGS. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock. However, could the stock still be trading at a relatively cheap price? Let’s examine JD.com’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.
View our latest analysis for JD.com ” data-reactid=”29″> View our latest analysis for JD.com
Is JD.com still cheap?
The stock seems fairly valued at the moment according to my valuation model. It’s trading around 9.35% above my intrinsic value, which means if you buy JD.com today, you’d be paying a relatively fair price for it. And if you believe the company’s true value is $73.16, then there isn’t really any room for the share price grow beyond what it’s currently trading. Furthermore, JD.com’s low beta implies that the stock is less volatile than the wider market.
Can we expect growth from JD.com?
Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company’s future expectations. With profit expected to grow by 52% over the next couple of years, the future seems bright for JD.com. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.
What this means for you:
3 warning signs that you should run your eye over to get a better picture of JD.com.” data-reactid=”53″>So if you’d like to dive deeper into this stock, it’s crucial to consider any risks it’s facing. For example, we’ve discovered 3 warning signs that you should run your eye over to get a better picture of JD.com.
50 other stocks with a high growth potential.” data-reactid=”54″>If you are no longer interested in JD.com, you can use our free platform to see our list of over 50 other stocks with a high growth potential.
Get in touch with us directly. Alternatively, email [email protected].” data-reactid=”55″>This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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