3 Reasons Why Growth Investors Shouldn't Overlook JD.com (JD)
ZACKS·2024-09-30 17:45

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying the right ones can be challenging due to associated risks and volatility. JD.com, Inc. is highlighted as a recommended growth stock based on its favorable Growth Score and top Zacks Rank [1]. Group 1: Earnings Growth - JD.com has a historical EPS growth rate of 42.7%, with projected EPS growth of 27.6% for the current year, surpassing the industry average of 26.8% [3]. Group 2: Cash Flow Growth - The year-over-year cash flow growth for JD.com is 32.5%, significantly higher than the industry average of -1.8%. The company's annualized cash flow growth rate over the past 3-5 years is 48.3%, compared to the industry average of 7.5% [4]. Group 3: Earnings Estimate Revisions - Current-year earnings estimates for JD.com have been revised upward, with the Zacks Consensus Estimate increasing by 0.3% over the past month, indicating a positive trend in earnings estimate revisions [5]. Group 4: Overall Positioning - JD.com has achieved a Zacks Rank 1 (Strong Buy) and a Growth Score of A, positioning it well for potential outperformance in the growth stock category [6][7].

3 Reasons Why Growth Investors Shouldn't Overlook JD.com (JD) - Reportify