Pinduoduo Is Still Struggling to Compete With Alibaba and JD.com
Pinduoduo's (NASDAQ: PDD) stock recently tumbled after the Chinese e-commerce company posted mixed second-quarter earnings. Its revenue rose 67% annually to 12.19 billion yuan ($1.73 billion), but missed estimates by $10 million. Its non-GAAP net loss narrowed from 411.3 million yuan to 77.2 million yuan ($10.9 million), or $0.01 per ADS, which beat expectations by $0.19.
Those headline numbers looked solid, but investors likely expected stronger growth after Pinduoduo's stock more than doubled over the past year. Pinduoduo's larger rivals, Alibaba (NYSE: BABA) and JD.com (NASDAQ: JD), also raised the bar with their latest earnings beats. Let's dig deeper to see why Pinduoduo's stock is slipping, and why the e-commerce underdog could be struggling to compete with Alibaba and JD.
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Source Fool.com
