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PDD Holdings Inc (PDD) Under Pressure, Here’s What You Should Know.

stock :: 11hrs ago :: source - insider monkey

By Talha Quresh

​PDD Holdings Inc. (NASDAQ:PDD) is one of the High Growth International Stocks to Buy Now. PDD Holdings Inc. (NASDAQ:PDD) has been under pressure from growing domestic competition, regulatory challenges, and higher expenses, threatening profitability.

​Recently, on January 28, Alicia Yap from Citi lowered the firm’s price target on the stock from $170 to $142 and maintained a Hold rating. Earlier, on January 15, Eddy Wang from Morgan Stanley reiterated a Buy rating on the stock with a $148 price target.

PDD Holdings Inc (PDD) Under Pressure, Here’s What You Should Know. Insider Monkey

Yap from Citi highlighted that she sees PDD’s domestic retail sales slowing in Q4. She added that this slowdown is also expected to impact Temu’s recovery in the US. On top of this, ongoing margin pressure and elevated operating costs are also expected to impact profitability in 2026. On the other hand, Morgan Stanley removed PDD from its “Top Pick” status, mainly due to increased regulatory risks and slower recovery in consumption.

​Overall, Wall Street’s 12-month median price target reflects more than 42% upside, and 67% of the 45 analysts covering PDD Holdings Inc. (NASDAQ:PDD) maintain a Buy rating.

​PDD Holdings Inc. (NASDAQ:PDD) is a Chinese multinational online commerce group and retailer that owns and operates a range of diverse businesses, with a solid logistics, sourcing, and fulfillment capabilities network that supports its operations. The company owns Pinduoduo, a popular online commerce platform in China, and also runs the fast-growing e-commerce marketplace Temu.

While we acknowledge the potential of PDD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PDD and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.