Will International Expansion Aid JD.com (JD) Q4 Earnings?

By Zacks Investment ResearchStock MarketsFeb 28, 2018 11:30PM ET

www.investing.com/analysis/will-international-expansion-aid-jdcom-jd-q4-earnings-200295394

Will International Expansion Aid JD.com (JD) Q4 Earnings?

By Zacks Investment Research | Feb 28, 2018 11:30PM ET

Saved. See Saved Items.

This article has already been saved in your Saved Items

AMZN

+0.04%

Add to/Remove from Watchlist

NFX

0.00%

Add to/Remove from Watchlist

ICUI

-4.01%

Add to/Remove from Watchlist

+1.93%

Add to/Remove from Watchlist

VRTV

+0.00%

Add to/Remove from Watchlist

BABA

+3.85%

Add to/Remove from Watchlist

JD.com, Inc. (NASDAQ:JD) will report fourth-quarter 2017 results on Mar 2. In the third quarter, the company delivered a positive earnings surprise of 130%.

The surprise history has been impressive in JD.com’s case. The company surpassed estimates in each of the trailing four quarters, with an average positive surprise of 256.3%.

We observe that the company's shares have gained 53.8% in a year’s time, underperforming its industry’s gain of 66%.

Let's see how things are shaping up for this announcement.

Strong Growth in E-Commerce Business

In the third quarter, net revenues from online direct sales increased 38.5% year over year to RMB76.5 billion (US$11.5 billion). It accounted for 92% of total third-quarter sales. The increase was driven by demand for home appliances, food and beverage, cosmetics, home furnishing and baby products. The company continues to invest in order to expand its fulfillment capability and broaden product offerings to enhance its e-commerce business.

International Expansion to Boost Top Line

JD.com has been focusing on both developing and maturing e-commerce markets outside China. In doing so, the company has been investing in relatively nascent and growing markets. Recently, in January, the company agreed to invest in Vietnamese e-commerce firm Tiki.vn. The investment will expand JD.com’s presence in Southeast Asia and also fend off further competition from Alibaba (NYSE:BABA) Group and Amazon (NASDAQ:AMZN). These investments will expand revenues in the quarter to be reported.

Partnerships to Aid Growth

During the third quarter, JD.com continued to gain popularity with a number of international brands.The Chinese e-commerce company entered into a partnership with Italian brand, Armani, opening official online stores for two additional Armani product lines. It also partnered with other leading international brands such as Spectrum Brands, Reckitt Benckiser and Tiger to launch flagship stores. We expect these moves to contribute to JD.com’s revenue expansion in the to-be-reported quarter.

What Our Model Suggests

According to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP. Zacks Rank #4 (Sell) or 5 (Strong Sell) stocks are best avoided, especially if these have a negative Earnings ESP. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

JD.com has a Zacks Rank #3 and an Earnings ESP of -41.86%, a combination that does not suggest that the company is likely to beat estimates this time around.

JD.com, Inc. Price, Consensus and EPS Surprise

JD.com, Inc. Price, Consensus and EPS Surprise | JD.com, Inc. Quote

Stocks to Consider

We see a likely earnings beat for each of the following companies.

Veritiv Corporation (NYSE:VRTV) , with an Earnings ESP of +41.03% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Newfield Exploration Company (NYSE:NFX) , with an Earnings ESP of +5.9% and a Zacks Rank #3.

ICU Medical, Inc. (NASDAQ:ICUI) , with an Earnings ESP of +6.12% and a Zacks Rank #2.

The Hottest Tech Mega-Trend of All

Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce ""the world's first trillionaires,"" but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>

JD.com, Inc. (JD): Free Stock Analysis Report

ICU Medical, Inc. (ICUI): Free Stock Analysis Report

Newfield Exploration Company (NFX): Free Stock Analysis Report

Veritiv Corporation (VRTV): Free Stock Analysis Report

Original post

Zacks Investment Research

Nvidia Q4 Earnings Preview: A Make-or-Break Moment for the AI Trade? By Jesse Cohen - Feb 26, 2025

Nvidia is scheduled to release its Q4 earnings report at 4:20PM ET on Wednesday. A call with CEO Jensen Huang is set for 5:00PM ET. The chipmaker’s results will serve as a...

3 Industry Leading Stocks Just Raised Dividends by 10% or More By Leo Miller - Feb 26, 2025

When a company is at the top of its industry, it is often afforded benefits that smaller players are not. Industry leaders often have key traits like economies of scale, top...

2 Dividend Power Plays to Cash-In on the Energy Revolution By Brett Owens - Feb 26, 2025 1

Often as dividend investors we buy stocks that provide us with income now. We take the current yield and happily collect the monthly or quarterly payout. Sometimes, though, it is...

Add a Comment

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:

Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
Only English comments will be allowed.
Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

I have read Investing.com's comments guidelines and agree to the terms described.

I Agree

Write your thoughts here

Are you sure you want to delete this chart?

Delete Cancel

Post

Post also to:

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.

<div id="comment">
				<div class="comment js-comment" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
    <div class="mainComment js-content">
       <div class="commentInnerWrapper">
        <a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody">
                					<span class="commentUsername">
                    	<a href="{userLink}" class="js-user-link js-user-name">{username}</a>
					</span>
                                <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
                <div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

<div class="js-option addRow follow">
            <div class="js-follow-post-button" data-reg_ep="follow comment">
                <span class="alertfollowIcon middle"></span>Follow this post            </div>
            <div class="js-unfollow-post-button displayNoneImp">
                <span class="alertUnfollowIcon middle"></span>Unfollow this post            </div>
        </div>

<div class="addRow js-option save"  data-reg_ep="save comment">
		<a href="javascript:void(0);" class="js-save-item-btn" data-item-type="comments" data-item-id="{commentID}">
			<i class="saveItemBigIcon middle"></i>
			Save		</a>
	</div>
	<div class="addRow saveItemsConfirmation noHover displayNone js-saveItemResult">
		
<div class="content js-saveItemSuccess displayNone">
	<span class="mediumGreenSuccessIcon"></span><span>Saved. See <a href="/members-admin/saved-items" target="_blank">Saved Items</a>.</span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
<div class="content js-saveItemAlreadySaved saveItemAlreadySaved displayNoneImp">
	<span>This comment has already been saved in your <a href="/members-admin/saved-items" target="_blank">Saved Items</a></span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
	</div>

<div class="addRow shareButtons js-sharePopup displayNone">
			<div class="js-shareComment"><span class="js-shareCommentSpan"></span></div>
		</div>
	</div>
</div>
                 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div>             </div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="commentBigChart js-comment-chart" onclick="openViewChartPopup('{commentID}')">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

<div class="reportComment js-flag float_lang_base_2">
                            <a href="javascript:void(0);" id="commentFlag_{commentID}">
                                <span class="reportCommentIcon middle"></span><span class="inlineblock middle">Report</span>
                            </a>
                        </div>
                    				</div>
					</div>
	   </div>
	</div>
	</div>			</div>
			<div id="reply">
				
    <div class="commentReply js-comment js-comment-reply" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
		<div class="commentInnerWrapper"><a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody js-content">
            				<span class="commentUsername">
					<a href="{userLink}" class="commentUsername js-user-link js-user-name" onMouseOver="">{username}</a>
				</span>
                        <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
			 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div> 			<div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

</div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="replyBigChart displayNone js-comment-chart">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
				<span id="commentSmallChart{commentID}" class="commentSmallChart pointer js-comment-chart" onclick="openViewChartPopup('{commentID}')">
                    <img src="https://d1-invdn-com.investing.com/comments_images/{commentImageSmall}" width="116" height="52" alt="{commentAlt}">
                    <span class="chartMagnifyOverlay displayNone"></span>
                    <span class="searchGlassIcon chartMagnify displayNone"></span>
                </span>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

Are you sure you want to delete this chart?

Delete Cancel

Post

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

I feel that this comment is:

Spam

Offensive

Thank You!

Your report has been sent to our moderators for review

Central Banks

Interest Rates

Next Meeting

FED

4.50%

Mar 19, 2025

ECB

2.90%

Mar 06, 2025

BOE

4.50%

Mar 20, 2025

SNB

0.50%

Mar 20, 2025

RBA

4.10%

Apr 01, 2025

BOC

3.00%

Mar 12, 2025

RBNZ

3.75%

Apr 09, 2025

BOJ

0.50%

Mar 19, 2025

CBR

21.00%

Mar 21, 2025

RBI

6.25%

Mar 10, 2025

PBOC

3.10%

BCB

13.25%

Mar 19, 2025

US 30	43,659.0	+37.7	+0.09%
US 500	5,972.1	+16.7	+0.28%
Dow Jones	43,621.16	+159.95	+0.37%
S&P 500	5,971.88	+16.52	+0.28%
Nasdaq	19,026.39	-260.54	-1.35%
S&P 500 VIX	19.20	-0.23	-1.18%
Dollar Index	106.460	+0.232	+0.22%

Crude Oil WTI	68.90	-0.03	-0.04%
Brent Oil	72.36	-0.14	-0.19%
Natural Gas	4.029	-0.101	-2.45%
Gold	2,908.41	-10.39	-0.36%
Silver	31.955	+0.129	+0.41%
Copper	4.6135	+0.0860	+1.90%
US Soybeans	1,028.50	-1.50	-0.15%

U.S. 10Y	4.295	-0.003	-0.07%
U.S. 30Y	4.550	-0.006	-0.13%
U.S. 5Y	4.134	+0.003	+0.07%
U.S. 3M	4.294	+0.003	+0.07%
US 10Y T-Note	110.47	-0.05	-0.04%
Euro Bund	132.68	+0.22	+0.16%
10-2 Yield Spread	19.61	-2.98	-13.19%

Apple	247.04	-0.06	-0.02%
Alphabet A	175.42	-3.83	-2.14%
Tesla	302.80	-27.73	-8.39%
Amazon.com	212.80	+0.09	+0.04%
Netflix	977.24	-11.23	-1.14%
Meta Platforms	657.50	-10.63	-1.59%
Bank of America	43.94	-0.52	-1.17%

Will International Expansion Aid JD.com (JD) Q4 Earnings?

Related Articles