PDD (NASDAQ:PDD) Trading Down 5.5% After Analyst Downgrade

PDD Holdings Inc. (NASDAQ:PDD) dropped 5.5% on Friday after Nomura Securities downgraded the stock from a strong-buy rating to a hold rating. The company traded as low as $123.54 and last traded at $123.69. Approximately 3,888,119 shares traded hands during mid-day trading, a decline of 63% from the average daily volume of 10,440,885 shares. The stock had previously closed at $130.92.

Several other brokerages have also recently weighed in on PDD. Nomura reaffirmed a “neutral” rating and issued a $130.00 price objective (down from $137.00) on shares of PDD in a report on Thursday. Benchmark reaffirmed a “buy” rating and issued a $160.00 price target on shares of PDD in a research note on Friday. JPMorgan Chase & Co. upped their price objective on shares of PDD from $105.00 to $125.00 and gave the stock a “neutral” rating in a research report on Friday. Dbs Bank lowered shares of PDD from a “strong-buy” rating to a “hold” rating in a report on Friday, November 22nd. Finally, Jefferies Financial Group cut their price target on shares of PDD from $171.00 to $156.00 and set a “buy” rating for the company in a report on Thursday. Five investment analysts have rated the stock with a hold rating, eight have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $169.91.

Institutional Investors Weigh In On PDD

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Gordian Capital Singapore Pte Ltd boosted its position in PDD by 1,218.9% in the third quarter. Gordian Capital Singapore Pte Ltd now owns 6,990 shares of the company’s stock valued at $942,000 after buying an additional 6,460 shares in the last quarter. Lord Abbett & CO. LLC lifted its stake in shares of PDD by 63.9% in the 3rd quarter. Lord Abbett & CO. LLC now owns 38,235 shares of the company’s stock valued at $5,155,000 after acquiring an additional 14,905 shares during the last quarter. Maple Rock Capital Partners Inc. acquired a new stake in shares of PDD during the 3rd quarter valued at $74,221,000. Headwater Capital Co Ltd bought a new stake in PDD during the 4th quarter worth $9,699,000. Finally, Baillie Gifford & Co. increased its holdings in PDD by 5.4% in the 4th quarter. Baillie Gifford & Co. now owns 38,059,343 shares of the company’s stock worth $3,691,376,000 after purchasing an additional 1,942,891 shares in the last quarter. 39.83% of the stock is owned by institutional investors.

PDD Stock Down 3.3 %

The firm has a 50-day simple moving average of $115.75 and a 200 day simple moving average of $113.24. The stock has a market capitalization of $174.24 billion, a P/E ratio of 12.37, a P/E/G ratio of 0.32 and a beta of 0.69. The company has a debt-to-equity ratio of 0.02, a current ratio of 2.15 and a quick ratio of 2.15.

PDD Company Profile

PDD Holdings Inc, a multinational commerce group, owns and operates a portfolio of businesses. It operates Pinduoduo, an e-commerce platform that offers products in various categories, including agricultural produce, apparel, shoes, bags, mother and childcare products, food and beverage, electronic appliances, furniture and household goods, cosmetics and other personal care, sports and fitness items and auto accessories; and Temu, an online marketplace.