1 Growth Stock I'd Buy Before PDD In 2026

Core Insights - PDD, China's third-largest e-commerce company, went public in 2018 and reached an all-time high stock price of $202.82 in February 2021, driven by significant growth in its discount marketplace and market share gains against competitors [1][2] Group 1: Company Performance - From 2018 to 2024, PDD's revenue grew at a CAGR of 76%, and it became profitable in 2021, with net income increasing at a CAGR of 144% over the next three years, marking it as one of the fastest-growing e-commerce companies globally [3] - Analysts project that from 2024 to 2027, PDD's revenue and net income will grow at a more modest CAGR of 12% and 7%, respectively, as the business matures and faces increased competition [4] Group 2: Market Position and Competition - PDD's stock has decreased to approximately $110, trading at ten times next year's earnings, but its high-growth phase may be over due to persistent trade tensions between the U.S. and China affecting valuations [5] - In contrast, MercadoLibre, the largest e-commerce company in Latin America, is experiencing faster growth and has a more diversified business model, which may present better investment opportunities compared to PDD [6][8]