JD Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
JD.com is not a strong buy at this moment for a beginner investor with a long-term strategy. The stock is currently in a bearish technical trend, with no strong positive catalysts or trading signals to suggest immediate upside potential. While the company's revenue growth is notable, declining profitability and weak sentiment from analysts and options data make it prudent to hold off on investing right now.
The technical indicators suggest a bearish trend. The MACD is negative and expanding downward, RSI is neutral at 32.355, and moving averages are bearish (SMA_200 > SMA_20 > SMA_5). The stock is trading near its support level of 27.253, with resistance at 28.796. The pre-market price of $27.32 represents a -0.73% decline, further indicating weakness.
North of South Capital increased its holdings in JD.com by 180,081 shares in Q4 2025, showing some institutional confidence. Additionally, the launch of JoyExpress in Europe could enhance market competitiveness and customer satisfaction in the long term.
Analysts have consistently lowered price targets, citing concerns over profitability, declining home appliance sales, and limited near-term catalysts. The company's Q3 2025 financials showed a significant drop in net income (-54.99% YoY) and EPS (-53.70% YoY), raising concerns about its ability to generate profits.
In Q3 2025, JD.com reported revenue growth of 14.94% YoY, but net income dropped by 54.99% YoY, and EPS declined by 53.70% YoY. Gross margin also fell to 16.88%, down 2.43% YoY, indicating pressure on profitability despite revenue growth.
Analysts maintain a Buy rating but have lowered price targets significantly. BofA revised its target to $36 from $38, Freedom Capital to $47 from $57, and Citi to $37 from $44, citing concerns over profitability, declining sales in key segments, and limited near-term catalysts. Arete downgraded the stock to Neutral with a $32 target.
