PDD Holdings Inc. PDD

Consumer DiscretionarySoftware & IT ServicesIreland

Last close 81.68 USD on Nov 2, 2026, −28.0% year to date

Quant rating

Quant rating B Rank 70 of 297 in Consumer Discretionary

Growth A 19 of 297
Valuation C 138 of 297
Quality A 28 of 297
Revisions C 124 of 297
Momentum C 207 of 297

Wall Street consensus Buy (2.26)Average target 113.66 USD +39.2%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 116.3B
Enterprise value: 47.6B
52-week range: 72.00 – 139.12
3-year range: 72.00 – 157.57
Dividend yield: –
Beta (5 years): −0.08
Shares outstanding: 5,694M
Next earnings: Nov 16, 2026

About the company

PDD Holdings Inc. is a multinational commerce company that owns and operates a portfolio of businesses. The Company is focused on bringing businesses and people into the digital economy, which benefits local communities and small businesses from improved productivity and new opportunities. The Company has built a network of sourcing, logistics, and fulfillment capabilities that support its underlying businesses. Its Pinduoduo platform provides buyers with a comprehensive selection of value-for-money merchandise and fun and interactive shopping experiences. The Temu, a global e-commerce platform which brings together buyers, merchants, manufacturers, and brands from around the world, offers a selection of merchandise in product categories such as apparel, electronic appliances, household goods, sports and fitness, tools and home improvement, and pet supplies.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	61,753	53,955	34,890	18,929	14,790	–
Revenue growth	14.5%	54.6%	84.3%	28.0%	62.2%	46.6%
EPS (basic, normalized)	10.49	11.41	6.46	3.99	1.50	–
EPS growth	−8.1%	76.6%	61.9%	165.3%	–	–
Gross margin	56.3%	60.9%	63.0%	75.9%	66.2%	64.5%
Net margin	22.7%	28.5%	24.2%	24.2%	8.3%	21.6%
ROE	26.9%	44.9%	39.4%	32.7%	11.5%	31.1%

Balance sheet, last quarter
Cash & short-term investments (mil)	67,267
Current ratio	2.62x
Long-term debt (mil)	0
Net debt (mil)	−67,267
Total equity (mil)	65,996
Net debt / equity	−1.02x
Net debt / EBITDA	−4.50x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2025 actual	61,753	+14.5%	0.8x	14,949	−6.9%	3.2x	10.49	−8.1%	7.8x
2026	69,861	+13.1%	0.7x	16,135	+7.9%	3.0x	10.32	−1.6%	7.9x
2027	77,155	+10.4%	0.6x	18,639	+15.5%	2.6x	12.39	+20.1%	6.6x
2028	84,241	+9.2%	0.6x	21,516	+15.4%	2.2x	14.24	+14.9%	5.7x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	69,861	−0.1%	−2.9%	−5.6%	10.32	−0.1%	+1.2%	−16.4%
2027	77,155	−0.1%	−3.9%	−7.0%	12.39	0.0%	+0.6%	−14.0%
2028	84,241	−0.1%	−3.3%	−6.8%	14.24	0.0%	−1.1%	−11.7%

Earnings surprises EPS beat in 2 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	86,812	97,060	99,354	110,610	95,672	103,985	108,277	123,912	106,229	112,358
Sales mean (mil)	75,658	99,857	102,971	115,695	102,508	103,339	108,408	124,425	109,334	116,350
Surprise	+14.7%	−2.8%	−3.5%	−4.4%	−6.7%	+0.6%	−0.1%	−0.4%	−2.8%	−3.4%
EPS reported	20.72	23.24	18.59	20.15	11.41	22.07	21.08	17.69	9.51	19.33
EPS mean	10.07	19.46	19.79	19.81	18.51	15.74	16.84	20.76	16.63	18.22
Surprise	+105.8%	+19.4%	−6.0%	+1.7%	−38.4%	+40.3%	+25.1%	−14.8%	−42.8%	+6.1%

Peer comparison Software & IT Services

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
PDD PDD Holdings Inc.	116.3B	−4.50x	22.7%	1.73x	7.9x	6.6x	3.0x	2.6x
GOOGL Alphabet Inc.	3.42T	−0.67x	32.8%	5.06x	14.2x	18.7x	14.3x	10.8x
MSFT Microsoft Corporation	3.77T	0.22x	40.3%	8.00x	25.4x	21.2x	15.6x	12.5x
0700 Tencent Holdings Limited	454.6B	0.29x	29.9%	2.66x	11.5x	11.0x	8.7x	8.0x
META Meta Platforms, Inc.	1.58T	0.01x	37.1%	5.69x	21.0x	18.0x	11.3x	8.8x
BABA Alibaba Group Holding Limited	252.5B	−0.48x	10.3%	1.50x	15.1x	10.7x	9.4x	6.8x
Mean		−0.86x	28.8%	4.11x	15.9x	14.4x	10.4x	8.2x
Median		−0.23x	31.4%	3.86x	14.7x	14.5x	10.4x	8.4x

Technical analysis

1M+8.4%
3M−7.8%
1Y−39.4%
3Y−19.4%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, PDD Holdings Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Total revenue	61,753	53,955	34,890	18,929	14,790	9,118
Cost of revenue	26,998	21,084	12,923	4,562	4,993	2,955
Gross profit	34,755	32,871	21,967	14,367	9,797	6,163
Selling, general & administrative expenses	19,082	16,283	12,154	8,454	7,294	6,544
Research & development	2,359	1,734	1,543	1,506	1,293	1,054
Depreciation/amortization	–	–	–	–	124	2.6
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	–	–	–	–	–	–
Other operating expenses	0	0	0	0	0	0
Operating income	13,313	14,854	8,270	4,408	1,086	−1,438
Net interest income (expense)	3,377	2,896	1,441	550	299	295
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	390	427	416	322	103	29.7
Net income before taxes	17,081	18,178	10,127	5,280	1,489	−1,113
Provision for taxes	3,108	2,777	1,670	685	304	0
Minority interest	–	–	–	–	–	–
Equity in affiliates	18.4	2.4	−0.7	−22.5	38.9	12.8
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	13,991	15,403	8,457	4,573	1,223	−1,100
Extraordinary items	–	–	–	–	–	–
Net income	13,991	15,403	8,457	4,573	1,223	−1,100
EBIT, normalized	13,313	14,854	8,270	4,408	1,086	−1,438
EBITDA, normalized	13,399	14,951	8,381	4,730	1,376	−1,315
Basic EPS, normalized	10.49	11.41	6.46	3.99	1.50	–

Balance sheet in millions of USD, fiscal years

Balance sheet, PDD Holdings Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & short-term investments	60,389	45,424	30,602	21,667	14,632	13,329
Receivables	2,218	1,665	1,772	1,066	938	866
Total inventory	–	–	–	–	2.2	263
Prepaid expenses	239	186	187	140	219	386
Other current assets	11,367	9,669	8,965	8,534	9,540	8,072
Total current assets	74,213	56,944	41,527	31,407	25,332	22,916
Property, plant & equipment	882	814	716	357	495	128
Goodwill	–	–	–	–	–	–
Intangibles	2.2	2.6	3.0	19.4	110	196
Long-term investments	10,977	8,547	6,696	2,416	2,561	1,048
Note receivable	–	–	–	–	–	–
Other long-term assets	4,020	2,882	98.3	180	29.8	66.8
Total assets	90,095	69,189	49,040	34,379	28,528	24,354
Liabilities
Accounts payable	20,030	16,431	12,948	9,757	10,148	8,425
Payable/accrued	–	–	–	–	–	–
Accrued expenses	2,592	2,357	2,582	1,278	949	1,013
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	0	727	91.4	2,013	0	286
Other current liabilities	7,943	6,298	5,921	3,899	3,659	3,131
Total current liabilities	30,564	25,814	21,542	16,947	14,756	12,855
Long-term debt	0	0	737	228	1,856	2,212
Minority interest	–	–	–	–	–	–
Other liabilities	418	452	381	128	90.8	64.0
Total liabilities	30,982	26,266	22,660	17,304	16,702	15,131
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	0	0	0	0	0	0
Additional paid-in capital	17,985	16,143	15,116	14,390	15,009	13,287
Retained earnings (accumulated deficit)	40,826	25,709	10,598	2,204	−2,788	−3,904
Treasury stock	–	–	–	–	–	–
Other equity	303	1,072	666	482	−397	−161
Total equity	59,113	42,924	26,380	17,075	11,825	9,222
Total liabilities & shareholders' equity	90,095	69,189	49,040	34,379	28,528	24,354

Cash flow statement in millions of USD, fiscal years

Cash flow statement, PDD Holdings Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	13,991	15,403	8,457	4,573	1,223	−1,100
Depreciation, depletion & amortization	86.0	97.1	111	322	235	99.9
Deferred taxes	−26.0	30.4	113	−149	0	–
Non-cash items	187	260	858	1,211	938	563
Changes in working capital	1,053	913	3,727	1,076	2,135	4,759
Cash from operations	15,292	16,704	13,266	7,033	4,531	4,321
Investing activities
Capital expenditures	−164	−132	−82.3	−92.2	−518	−6.6
Other investing cash flows	−6,046	−16,082	−7,727	−3,150	−5,081	−5,872
Cash from investing	−6,209	−16,215	−7,810	−3,242	−5,599	−5,879
Financing activities
Financing cash flow items	0.2	0.2	1.2	1.5	0.1	0
Cash dividends paid	–	–	–	–	–	–
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−748	0	−1,264	0	−295	7,939
Cash from financing	−748	0.2	−1,262	1.5	−295	7,939
Foreign exchange effects	−250	115	−41.0	14.5	−22.9	−21.4
Net change in cash	8,085	605	4,153	3,807	−1,385	6,360
Free cash flow	15,128	16,572	13,184	6,941	4,014	4,315

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 2, 2026 after market close.