Daiwa: Maintains "Buy" rating on JD-SW, raises target price to HKD 216
Daiwa released a research report stating that it maintains a "Buy" rating on JD Group-SW, with a target price raised from HKD 204 to HKD 216. The firm noted that the positive surprise in the group's fourth-quarter performance, driven by JD Retail, was better than expected revenue and adjusted profits. Daiwa believes that JD Retail's revenue momentum will remain strong in the first half of the year and may lead to upward revisions in earnings. However, the second half will face a high base for electronics and home appliances revenue, thus requiring faster-than-expected growth in daily necessities revenue to drive further rating upgrades. After considering the faster revenue growth, Daiwa raised its earnings per share forecasts for JD in 2025 and 2026 by 7% to 12%
According to the Zhitong Finance APP, Daiwa released a research report maintaining a "Buy" rating for JD Group-SW (09618), with the target price raised from HKD 204 to HKD 216. The firm stated that the positive surprise in the group's fourth-quarter performance, driven by JD Retail, was better than expected in terms of revenue and adjusted profit. They believe that JD Retail's revenue momentum will remain strong in the first half of the year and may lead to an upward revision of earnings. However, the second half will face a high base for electronics and home appliances revenue, thus requiring faster-than-expected growth in daily necessities revenue to drive further rating upgrades. Considering the faster revenue growth, Daiwa has raised its earnings per share forecasts for JD in 2025 and 2026 by 7% to 12%