Why $PDD is down 15% pre-market after reporting +152% EPS Y/Y growth?

2024-08-26

Why $PDD Holdings Inc(PDD)$ is down 15% pre-market after reporting +152% EPS Y/Y growth?

Mr. Lei Chen, Chairman and Co-CEO recognizes recent progress but sees future challenges as well as accepts potential short-term profitability decline:

“While encouraged by the solid progress we made in the past few quarters, we see many challenges ahead,”

''We are prepared to accept short-term sacrifices and potential decline in profitability.''

Ms. Jun Liu, VP of Finance outlines that the revenue growth has slowed and is expected to face further pressure. Profitability may be affected due to ongoing investment and competition:

“In the past quarter, our revenue growth rate slowed quarter-on-quarter. Looking ahead, revenue growth will inevitably face pressure due to intensified competition and external challenges,”

“Profitability will also likely to be impacted as we continue to invest resolutely.”

New Liquidity? Are You Bullish on China Stock Rally During CNY?

At today’s meeting, China announced a new policy stating large state-owned insurance companies are required to allocate 30% of their new premiums each year to A-share investments starting in 2025. Historically, Hong Kong and A-shares tend to perform well in January, during the Chinese New Year period. ------------------- Does this signify new liquidity for the stock market? Is it a positive signal or not? Should investors hold on for more gains or take profits now? Which Chinese stock are you most optimistic about?

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Are You Bullish on China Stock Rally During CNY?","type":0,"rnLink":"https://laohu8.com/RN?name=RNTheme&page=/theme/detail&rndata={\"themeId\":aa79a96f120143fe9914cf57b36baedd}&rnconfig={\"headerBarHidden\": true}","description":"At today’s meeting, China announced a new policy stating large state-owned insurance companies are required to allocate 30% of their new premiums each year to A-share investments starting in 2025.\nHistorically, Hong Kong and A-shares tend to perform well in January, during the Chinese New Year period. \n-------------------\nDoes this signify new liquidity for the stock market? Is it a positive signal or not?\n Should investors hold on for more gains or take profits now? Which Chinese stock are you most optimistic about?","image":"https://community-static.tradeup.com/news/277f3722b689cde4571a80decdd32ce2"}],"images":[],"coverImages":[],"title":"Why $PDD is down 15% pre-market after reporting +152% EPS Y/Y growth? ","html":"<html><head></head><body>Why <a data-mention-id=\"PDD\" class=\"teditor-mention\" data-mention-name=\"PDD Holdings Inc\" href=\"https://ttm.financial/S/PDD\">$PDD Holdings Inc(PDD)$</a> is down 15% pre-market after reporting +152% EPS Y/Y growth? Mr. Lei Chen, Chairman and Co-CEO recognizes recent progress but sees future challenges as well as accepts potential short-term profitability decline: “While encouraged by the solid progress we made in the past few quarters, we see many challenges ahead,” ''We are prepared to accept short-term sacrifices and potential decline in profitability.'' Ms. Jun Liu, VP of Finance outlines that the revenue growth has slowed and is expected to face further pressure. Profitability may be affected due to ongoing investment and competition: “In the past quarter, our revenue growth rate slowed quarter-on-quarter. 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Profitability may be affected due to ongoing investment and competition: “In the past quarter, our revenue growth rate slowed quarter-on-quarter. Looking ahead, revenue growth will inevitably face pressure due to intensified competition and external challenges,” “Profitability will also likely to be impacted as we continue to invest resolutely.”</body></html>","text":"Why $PDD Holdings Inc(PDD)$ is down 15% pre-market after reporting +152% EPS Y/Y growth? Mr. Lei Chen, Chairman and Co-CEO recognizes recent progress but sees future challenges as well as accepts potential short-term profitability decline: “While encouraged by the solid progress we made in the past few quarters, we see many challenges ahead,” ''We are prepared to accept short-term sacrifices and potential decline in profitability.'' Ms. Jun Liu, VP of Finance outlines that the revenue growth has slowed and is expected to face further pressure. Profitability may be affected due to ongoing investment and competition: “In the past quarter, our revenue growth rate slowed quarter-on-quarter. 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