PDD Relative Valuation
PDD's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, PDD is overvalued; if below, it's undervalued.
Historical Valuation
PDD Holdings Inc (PDD) is now in the Fair zone, suggesting that its current forward PS ratio of 0.00 is considered Fairly compared with the five-year average of 24.14. The fair price of PDD Holdings Inc (PDD) is between NaN to NaN according to relative valuation methord.
Relative Value
Fair Zone
NaN-NaN
Current Price：117.20
Fair
9.94
PE
1Y
3Y
5Y
Trailing
Forward
6.54
EV/EBITDA
PDD Holdings Inc. (PDD) has a current EV/EBITDA of 6.54. The 5-year average EV/EBITDA is 14.99. The thresholds are as follows: Strongly Undervalued below -207.39, Undervalued between -207.39 and -96.20, Fairly Valued between 126.18 and -96.20, Overvalued between 126.18 and 237.37, and Strongly Overvalued above 237.37. The current Forward EV/EBITDA of 6.54 falls within the Historic Trend Line -Fairly Valued range.
7.39
EV/EBIT
PDD Holdings Inc. (PDD) has a current EV/EBIT of 7.39. The 5-year average EV/EBIT is 28.07. The thresholds are as follows: Strongly Undervalued below -173.25, Undervalued between -173.25 and -72.59, Fairly Valued between 128.73 and -72.59, Overvalued between 128.73 and 229.39, and Strongly Overvalued above 229.39. The current Forward EV/EBIT of 7.39 falls within the Historic Trend Line -Fairly Valued range.
2.39
PS
PDD Holdings Inc. (PDD) has a current PS of 2.39. The 5-year average PS is 4.38. The thresholds are as follows: Strongly Undervalued below -1.75, Undervalued between -1.75 and 1.32, Fairly Valued between 7.45 and 1.32, Overvalued between 7.45 and 10.52, and Strongly Overvalued above 10.52. The current Forward PS of 2.39 falls within the Historic Trend Line -Fairly Valued range.
8.44
P/OCF
PDD Holdings Inc. (PDD) has a current P/OCF of 8.44. The 5-year average P/OCF is 13.60. The thresholds are as follows: Strongly Undervalued below -6.09, Undervalued between -6.09 and 3.75, Fairly Valued between 23.44 and 3.75, Overvalued between 23.44 and 33.29, and Strongly Overvalued above 33.29. The current Forward P/OCF of 8.44 falls within the Historic Trend Line -Fairly Valued range.
8.82
P/FCF
PDD Holdings Inc. (PDD) has a current P/FCF of 8.82. The 5-year average P/FCF is 14.87. The thresholds are as follows: Strongly Undervalued below -6.50, Undervalued between -6.50 and 4.18, Fairly Valued between 25.55 and 4.18, Overvalued between 25.55 and 36.23, and Strongly Overvalued above 36.23. The current Forward P/FCF of 8.82 falls within the Historic Trend Line -Fairly Valued range.
PDD Holdings Inc (PDD) has a current Price-to-Book (P/B) ratio of 2.96. Compared to its 3-year average P/B ratio of 5.22 , the current P/B ratio is approximately -43.30% higher. Relative to its 5-year average P/B ratio of 7.77, the current P/B ratio is about -61.90% higher. PDD Holdings Inc (PDD) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 8.87%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 7.10% , the current FCF yield is about -100.00% lower.
2.95
P/B
Median3y
5.22
Median5y
7.77
9.48
FCF Yield
Median3y
8.87
Median5y
7.10
Competitors Valuation Multiple
The average P/S ratio for PDD's competitors is , providing a benchmark for relative valuation. PDD Holdings Inc Corp (PDD) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 8.98%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of PDD increased by 20.45% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 99.35B to 108.28B.
The secondary factor is the Margin Expansion, contributed 7.76%to the performance.
Overall, the performance of PDD in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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FAQ
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