PDD Earnings On Deck: What To Expect

PDD Holdings Inc. (NASDAQ: PDD), the parent company behind the burgeoning Chinese e-commerce platform Pinduoduo, is set to report its latest earnings today. Analysts are keenly watching, seeking to decipher whether the company can sustain its impressive growth trajectory amid a complex global economic landscape.

Analysts forecast that PDD Holdings will report an earnings per share (EPS) of 16.57 yuan for the upcoming earnings report, down from 18.59 yuan EPS a year ago. Revenue estimates are projected to reach around 108.73 billion yuan, reflecting a year-over-year sales growth of 9.44%.

PDD's second-quarter performance in 2025 was nothing short of stellar. The company reported earnings per share (EPS) of 22.07 yuan, exceeding forecasts by a staggering 49.12%. Revenue also saw a healthy 7% year-over-year increase, reaching 103.98 billion yuan. This robust performance has fueled optimism among analysts.

The consensus among analysts is a “Buy” rating for PDD, with an average 12-month price target of $145.88. This suggests an 11.4% upside from the current price, indicating confidence in the company's future growth potential. However, it's crucial to remember that analyst estimates are subject to change.

Recent institutional activity presents a somewhat muddled picture. While AE Wealth Management LLC increased its stake in PDD, Allianz SE and the State of New Jersey Common Pension Fund D reduced their holdings. Allianz SE disclosed a substantial 41.8% reduction in its PDD holdings during the second quarter, while AE Wealth Management LLC increased its stake by 32.3%.

The State of New Jersey Common Pension Fund D decreased its holdings by 30.6%. These divergent moves highlight the varying investment strategies and risk appetites of institutional backers.

Heading into the earnings release on November 19th, the market is keenly focused on several key metrics. Markets will be scrutinizing revenue growth, profitability, and user engagement. Any signs of slowing growth or increased competition could trigger a sell-off.

Conversely, a strong performance could propel the stock higher. The market expects that PDD will announce figures of around 30 yuan for expected EPS , expected revenue of 120 billion yuan as well as the average price target to increase to 160 USD.

PDD Holdings has been active, including the release of Q4 and fiscal year 2024 financial results back in March showing total revenues of RMB 393.8 billion (approximately $54.0 billion), marking a 59% year-over-year increase. Operating profit rose by 85% to RMB 108.4 billion (approximately $14.9 billion), and net income increased by 87% to RMB 112.4 billion (approximately $15.4 billion).

While the prevailing sentiment surrounding PDD is largely positive, a closer examination warrants a more cautious approach. While PDD has experienced impressive growth, its reliance on deep discounts and aggressive marketing tactics may not be sustainable in the long run. As the company matures, it will need to find ways to attract and retain customers without sacrificing profitability.

Furthermore, the competitive landscape in China is becoming increasingly crowded. Alibaba and JD.com are not standing still, and they are actively investing in new technologies and strategies to maintain their market share. PDD will need to continuously innovate and adapt to stay ahead of the curve.

Finally, the global economic outlook remains uncertain. A potential recession or trade war could significantly impact consumer spending and PDD's growth prospects. While the company has demonstrated resilience in the past, it is not immune to macroeconomic shocks.