Logistics Automation

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Are JD's Logistics Investments Worth the Profitability Trade-Off?
ZACKS· 2025-06-05 18:11
Core Insights - JD Logistics, the supply chain arm of JD.com, achieved 11% year-over-year revenue growth in Q1 2025, contributing 16.2% to JD's total revenues [1][9] - The company is heavily investing in automation across various logistics functions, which is aimed at long-term scalability despite short-term profitability pressures [1][9] - JD Property has launched its first overseas logistics asset in Dubai, indicating a strategic move to enhance global trade and support international growth [2] Competitive Landscape - JD Logistics faces competition from Alibaba's Cainiao and Amazon Global Logistics in the international logistics sector [3][4] - Cainiao, established in 2013, has developed a smart global logistics network with comprehensive capabilities, catering to both global brands entering China and Chinese companies selling abroad [3] - Amazon Global Logistics offers a door-to-door shipping service that integrates with Amazon's supply chain, providing competitive shipping rates [4] Financial Performance and Valuation - JD's stock has declined by 24.1% over the past three months, contrasting with a 2.5% growth in the Zacks Internet - Commerce industry [7] - The company trades at a forward 12-month P/E ratio of 8.01X, significantly lower than the industry average of 23.95X, indicating potential undervaluation [10] - The Zacks Consensus Estimate for JD's 2025 earnings is $3.81 per share, reflecting a downward revision of 16.9% over the past month, suggesting a year-over-year decline of 10.56% [11]
GXO extends longstanding partnership with bioMérieux
GlobeNewswire News Room· 2025-05-22 11:00
PARIS, France, May 22, 2025 (GLOBE NEWSWIRE) -- GXO Logistics, Inc. (NYSE: GXO), the world’s largest pure-play contract logistics provider, today announced a long-term contract renewal and extension with bioMérieux, a world leader in the field of In Vitro Diagnostics providing solutions to improve patient health and to ensure consumer safety. “We are delighted that bioMérieux, our partner for over 20 years, renewed the trust they place in GXO. Following a successful overhaul of the distribution of the Reage ...