JD.com (JD, Financial) saw its stock price increase by over 2%, reaching $39.285. The rise is attributed to positive market sentiment following research reports from BOCOM International and China Merchants Securities. BOCOM International highlighted JD.com's benefit from the trade-in policy expansion, which is expected to boost sales in the electronics category and improve supply chain efficiency. Consequently, the firm raised its revenue and profit forecasts for JD.com's Q4 2024 by 3% and 12%, respectively, and increased its target price from HKD 217 to HKD 233, maintaining a "buy" rating.
China Merchants Securities also issued a report predicting JD.com's Q4 2024 revenue to reach RMB 334 billion, marking a 9% year-on-year increase with accelerated quarterly growth. They expect JD.com's retail gross merchandise volume (GMV) to achieve high single-digit annual growth, with a similar acceleration on a quarterly basis, driving a 9.5% year-on-year increase in retail revenue. The upward revision is mainly due to the unexpected growth resulting from the trade-in policy introduced in September last year.
