Market News

According to a research report released by JPMorgan, pinduoduo (PDD.US) had a strong performance last quarter, but the stock price did not rise significantly. The bank believes that this is due to a lack of confidence among long-term investors due to short-term capital gains and limited guidance and performance disclosure given by the group. However, the bank believes that the investment theme for the next three to six months will be about rising profits, and that the group's results for the first quarter of 2024, announced at the end of May, will be the next catalyst. The bank reiterated its "overweight" rating and lowered its target price to $190 from $195. The bank said it expected China's GMV to grow by 15 per cent this year, leading to 22 per cent growth in online marketing and 52 per cent in overall revenue, while growth should be strong in the first half of this year due to a low base.