Traders Purchase Large Volume of PDD Call Options (NASDAQ:PDD)

PDD Holdings Inc. Sponsored ADR (NASDAQ:PDD) was the recipient of some unusual options trading on Monday. Stock traders bought 44,077 call options on the stock. This represents an increase of approximately 33% compared to the average daily volume of 33,086 call options.

Hedge Funds Weigh In On PDD

Several hedge funds have recently modified their holdings of the company. Candriam S.C.A. lifted its stake in PDD by 32.2% in the third quarter. Candriam S.C.A. now owns 86,300 shares of the company’s stock valued at $6,751,000 after purchasing an additional 21,000 shares during the last quarter. Twin Peaks Capital Ltd bought a new position in PDD during the third quarter valued at $5,066,000. International Assets Investment Management LLC increased its position in PDD by 23.4% in the third quarter. International Assets Investment Management LLC now owns 4,434 shares of the company’s stock worth $339,000 after buying an additional 841 shares during the last quarter. Commonwealth Equity Services LLC increased its position in PDD by 11.3% in the third quarter. Commonwealth Equity Services LLC now owns 3,016 shares of the company’s stock worth $235,000 after buying an additional 307 shares during the last quarter. Finally, Rakuten Investment Management Inc. increased its position in PDD by 9.0% in the third quarter. Rakuten Investment Management Inc. now owns 88,907 shares of the company’s stock worth $6,890,000 after buying an additional 7,361 shares during the last quarter. Institutional investors own 39.83% of the company’s stock.

PDD Price Performance

PDD opened at $80.17 on Wednesday. PDD has a 1 year low of $71.94 and a 1 year high of $139.12. The company has a market capitalization of $114.11 billion, a price-to-earnings ratio of 9.00, a P/E/G ratio of 0.65 and a beta of -0.03. The firm’s fifty day moving average price is $80.02 and its two-hundred day moving average price is $90.88.

PDD (NASDAQ:PDD) last announced its earnings results on Friday, August 14th. The company reported $2.84 EPS for the quarter. PDD had a net margin of 20.73% and a return on equity of 22.29%. The company had revenue of $16.54 billion during the quarter. As a group, equities analysts anticipate that PDD will post 10.02 EPS for the current year.

Analyst Ratings Changes

A number of equities analysts recently issued reports on the company. Deutsche Bank Aktiengesellschaft upgraded PDD from a “hold” rating to a “buy” rating in a report on Thursday, October 29th. JPMorgan Chase & Co. reduced their price objective on shares of PDD from $110.00 to $95.00 and set a “neutral” rating for the company in a report on Thursday, September 10th. Benchmark dropped their price target on shares of PDD from $127.00 to $114.00 and set a “buy” rating on the stock in a research report on Tuesday, August 25th. Arete Research downgraded PDD from a “buy” rating to a “neutral” rating and set a $93.00 price target for the company. in a research note on Monday, September 7th. Finally, Bank of America reissued a “neutral” rating on shares of PDD in a research note on Wednesday, August 26th. Six investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, PDD presently has an average rating of “Hold” and a consensus price target of $110.31.

About PDD

PDD Holdings Inc is a multinational commerce group that operates online marketplace platforms connecting consumers with merchants, manufacturers and agricultural producers. The company’s platforms use interactive shopping features, including group purchasing and personalized product discovery, to offer a broad range of merchandise at competitive prices.

PDD Holdings’ businesses include Pinduoduo, an e-commerce platform serving consumers in China, and Temu, an online marketplace launched in 2022 that serves consumers across multiple international markets, including North America, Europe and other regions.