JD.com: Beaten Down Yet Possessing Attractive Growth Metrics

22 days ago

"Stock number two, JD.com. Every time I hear JD.com, I think of JD Sports and it's not JD Sports. JD.com is in China. It's the third largest Chinese e-commerce platform by gross merchandise value. But here's my issue. Look at this enterprise value. My version is 73 billion. That's 30 billion in debt. And guys, their five-year average free cash flow is 3.7 billion. Their one-year free cash flow is about a billion dollars. I do like a couple things here. The revenue growth rates, 8% a year for the last three, 13 and a half for the last five, 23% for the last 10."

The speaker provides a detailed breakdown of JD.com's financials, highlighting the company's significant debt load alongside attractive free cash flow and revenue growth figures. Despite the regulatory and economic concerns specific to China, the commentary suggests that the stock's low price and growth metrics merit a closer look.

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