JD.com, Inc. (JD) closed at $29.78 in the latest trading session, marking a +0.44% move from the prior day. This change lagged the S&P 500's 0.88% gain on the day. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, added 1.32%.
Coming into today, shares of the company had gained 4.44% in the past month. In that same time, the Retail-Wholesale sector gained 4.72%, while the S&P 500 gained 3.96%.
JD will be looking to display strength as it nears its nex t earnings release. On that day, JD is projected to report earnings of $0.14 per share, which would represent year-over-year growth of 27.27%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $17.80 billion, up 11.49% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.54 per share and revenue of $81.18 billion. These totals would mark changes of +58.82% and +17.13%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for JD. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. JD is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that JD has a Forward P/E ratio of 54.65 right now. For comparison, its industry has an average Forward P/E of 29.35, which means JD is trading at a premium to the group.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 189, putting it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of NASDAQ, Inc.