JD.com (NASDAQ:JD – Get Free Report) and TripAdvisor (NASDAQ:TRIP – Get Free Report) are both retail/wholesale companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, earnings, valuation and risk.
Valuation & Earnings
This table compares JD.com and TripAdvisor”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| JD.com | $158.76 billion | 0.32 | $5.67 billion | $4.11 | 7.80 |
| TripAdvisor | $1.84 billion | 1.34 | $5.00 million | $0.37 | 46.92 |
Profitability
This table compares JD.com and TripAdvisor’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| JD.com | 3.77% | 16.41% | 7.40% |
| TripAdvisor | 2.94% | 10.68% | 3.34% |
Institutional & Insider Ownership
16.0% of JD.com shares are held by institutional investors. Comparatively, 99.0% of TripAdvisor shares are held by institutional investors. 16.6% of JD.com shares are held by company insiders. Comparatively, 3.1% of TripAdvisor shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Volatility & Risk
JD.com has a beta of 0.48, suggesting that its share price is 52% less volatile than the S&P 500. Comparatively, TripAdvisor has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500.
Analyst Recommendations
This is a summary of current ratings for JD.com and TripAdvisor, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| JD.com | 0 | 4 | 9 | 1 | 2.79 |
| TripAdvisor | 2 | 9 | 2 | 0 | 2.00 |
JD.com presently has a consensus target price of $46.23, suggesting a potential upside of 44.18%. TripAdvisor has a consensus target price of $17.27, suggesting a potential downside of 0.51%. Given JD.com’s stronger consensus rating and higher possible upside, equities analysts clearly believe JD.com is more favorable than TripAdvisor.
Summary
JD.com beats TripAdvisor on 11 of the 15 factors compared between the two stocks.
About JD.com
JD.com, Inc. operates as a supply chain-based technology and service provider in the People's Republic of China. The company offers computers, communication, and consumer electronics products, as well as home appliances; and general merchandise products comprising food, beverage and fresh produce, baby and maternity products, furniture and household goods, cosmetics and other personal care items, pharmaceutical and healthcare products, industrial products, books, automobile accessories, apparel and footwear, bags, and jewelry. It also provides online marketplace services for third-party merchants; marketing services; and omni-channel solutions to customers and offline retailers, as well as online healthcare services. In addition, the company develops, owns, and manages its logistics facilities and other real estate properties to support third parties; offers asset management services and integrated service platform; leasing of storage facilities and related management services; and engages in online retail business. Further, it provides integrated data, technology, business, and user management industry solutions to support the digitization of enterprises and institutions; and technology-driven supply chain solutions and logistics services. The company was formerly known as 360buy Jingdong Inc. and changed its name to JD.com, Inc. in January 2014. JD.com, Inc. was incorporated in 2006 and is headquartered in Beijing, the People's Republic of China.
About TripAdvisor
TripAdvisor, Inc. operates as an online travel company, primarily engages in the provision of travel guidance products and services worldwide. The company operates in three segments: Brand Tripadvisor, Viator, and TheFork. The Brand Tripadvisor segment offers travel guidance platforms for travelers to discover, generate, and share authentic user-generated content in the form of ratings and reviews for destinations, points-of-interest, experiences, accommodations, restaurants, and cruises. The Viator's segment provides pure-play experiences online travel agency that comprehensive and connecting travelers to discover and book tours, activities, and attractions from experience operators. TheFork segment provides an online marketplace that enables diners to discover and book online reservations at restaurants. TripAdvisor, Inc. was founded in 2000 and is headquartered in Needham, Massachusetts. Tripadvisor, Inc. is a subsidiary of Liberty TripAdvisor Holdings, Inc.
Receive News & Ratings for JD.com Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for JD.com and related companies with MarketBeat.com's FREE daily email newsletter.
