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PDD Holdings Inc. (PDD)



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Upturn Advisory Summary
08/14/2025: PDD (1-star) has a low Upturn Star Rating. Not recommended to BUY.
1 Year Target Price $125.63
1 Year Target Price $125.63
23 | Strong Buy |
5 | Buy |
12 | Hold |
0 | Sell |
1 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -45.2% | Avg. Invested days 36 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Large-Cap Stock | Market Capitalization 162.89B USD | Price to earnings Ratio 12.31 | 1Y Target Price 125.63 |
Price to earnings Ratio 12.31 | 1Y Target Price 125.63 | ||
Volume (30-day avg) 41 | Beta 0.41 | 52 Weeks Range 87.11 - 155.67 | Updated Date 08/15/2025 |
52 Weeks Range 87.11 - 155.67 | Updated Date 08/15/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 9.32 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 24.63% | Operating Margin (TTM) 16.81% |
Management Effectiveness
Return on Assets (TTM) 13.56% | Return on Equity (TTM) 36.17% |
Valuation
Trailing PE 12.31 | Forward PE 12.77 | Enterprise Value 116373794585 | Price to Sales(TTM) 0.4 |
Enterprise Value 116373794585 | Price to Sales(TTM) 0.4 | ||
Enterprise Value to Revenue 2.07 | Enterprise Value to EBITDA 6.8 | Shares Outstanding 1419650048 | Shares Floating 3053828589 |
Shares Outstanding 1419650048 | Shares Floating 3053828589 | ||
Percent Insiders - | Percent Institutions 32.57 |
Upturn AI SWOT
PDD Holdings Inc.

Company Overview
History and Background
PDD Holdings Inc., formerly Pinduoduo Inc., was founded in 2015. It quickly rose to prominence in China's e-commerce market with its innovative social commerce model focused on group buying and agricultural products. It changed its name to PDD Holdings Inc. in Feburary 2023.
Core Business Areas
- Online Marketplace Platform (Pinduoduo): Pinduoduo is PDD Holdings' primary e-commerce platform, connecting consumers with a wide variety of merchants, with a strong focus on value-for-money products, particularly agricultural goods. Its group buying feature and interactive user experience differentiates it from other platforms.
- Temu: Temu is a cross-border e-commerce platform targeting international markets, primarily in North America and Europe. It offers a wide range of products, often at competitive prices, directly from manufacturers and suppliers.
Leadership and Structure
Lei Chen serves as the Chairman and Co-Chief Executive Officer. Jiazhen Zhao is the Co-Chief Executive Officer and Zhao Chen is the Director of Agriculture Strategy. PDD Holdings operates with a relatively flat organizational structure, emphasizing agility and innovation.
Top Products and Market Share
Key Offerings
- Agricultural Products: Pinduoduo's platform features a vast selection of agricultural products sourced directly from farmers. Market share in the agricultural e-commerce segment in China is estimated to be significant, however exact figures are dynamic and difficult to ascertain. Competitors include Alibaba and JD.com.
- General Merchandise: Pinduoduo offers a wide array of general merchandise, including apparel, electronics, and home goods. Competition in this sector is fierce with Alibaba, JD.com, and other players vying for market share. Temu also offers general merchandise in the US market, competing with Amazon, Shein and others. No specific product revenue figures are publicly available.
Market Dynamics
Industry Overview
The e-commerce industry is highly competitive and rapidly evolving, marked by increasing consumer demand for online shopping, technological advancements, and the rise of mobile commerce. Key trends include personalization, social commerce, and cross-border e-commerce.
Positioning
PDD Holdings is positioned as a disruptive force in the e-commerce industry, particularly in China. Its social commerce model, value-for-money offerings, and focus on agricultural products have enabled it to capture a significant share of the market. Its expansion into cross-border e-commerce with Temu further diversifies its reach.
Total Addressable Market (TAM)
The global e-commerce TAM is estimated to be in the trillions of dollars and growing. PDD Holdings, with its platforms Pinduoduo and Temu, is well-positioned to capture a significant portion of this TAM.
Upturn SWOT Analysis
Strengths
- Strong social commerce model
- Large and active user base
- Focus on agricultural products
- Rapid growth in international markets with Temu
- Innovative marketing strategies
- Direct access to manufactures and suppliers
Weaknesses
- Reliance on discount pricing strategy
- Concerns about product quality and authenticity
- Regulatory scrutiny in China
- High marketing expenses
- Logistics and supply chain challenges in international markets
Opportunities
- Further expansion into international markets
- Diversification of product offerings
- Investments in technology and infrastructure
- Strategic partnerships
- Growth in rural e-commerce
- Leveraging AI and big data to improve user experience
Threats
- Intense competition from established e-commerce giants
- Changing consumer preferences
- Economic slowdown
- Geopolitical risks
- Cybersecurity threats
- Increased regulatory scrutiny
Competitors and Market Share
Key Competitors
- BABA
- JD
Competitive Landscape
PDD Holdings differentiates itself through its social commerce model and focus on value-for-money products, while competitors like Alibaba and JD.com offer a wider range of products and services.
Major Acquisitions
None
- Year: 2024
- Acquisition Price (USD millions): 0
- Strategic Rationale: Not applicable
Growth Trajectory and Initiatives
Historical Growth: PDD Holdings has experienced significant growth in revenue, user base, and market share since its founding.
Future Projections: Analysts project continued strong growth for PDD Holdings, driven by its expansion into new markets, innovative business model, and investments in technology.
Recent Initiatives: PDD Holdings has recently focused on expanding Temu, investing in its logistics infrastructure, and enhancing its technology capabilities.
Summary
PDD Holdings is a strong company with a unique social commerce model that has allowed it to capture a significant share of the e-commerce market. Temu's success in international markets shows promise. It faces competition from established players and regulatory scrutiny, but its innovative approach and strong growth trajectory position it for continued success. It should look out for supply chain issues and geopolitical risks.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Filings
- Industry Reports
- Analyst Estimates
- Third-party market research
Disclaimers:
The information provided is for informational purposes only and should not be considered investment advice. Market data is dynamic and subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About PDD Holdings Inc.
Exchange NASDAQ | Headquaters - | ||
IPO Launch date 2018-07-26 | General Counsel, Co-CEO & Chairman Mr. Lei Chen | ||
Sector Consumer Cyclical | Industry Internet Retail | Full time employees 23465 | Website https://www.pddholdings.com |
Full time employees 23465 | Website https://www.pddholdings.com |
PDD Holdings Inc., a multinational commerce group that owns and operates a portfolio of businesses. It operates Pinduoduo platform which provides various product categories, including agricultural produce, apparel, shoes, bags, mother and childcare products, food and beverages, consumer electronics, electronic appliances, furniture and household goods, cosmetics and other personal care items, sports and fitness, and auto accessories; and Temu, an online platform, which enables merchants to streamline their manufacturing and commercial operations. The company was formerly known as Pinduoduo Inc. and changed its name to PDD Holdings Inc. in February 2023. PDD Holdings Inc. was incorporated in 2015 and is based in Dublin, Ireland.

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