Yahoo Finance PDD Holdings (PDD) to Report Q1 Earnings: What's in the Cards?
PDD Holdings Inc. PDD is scheduled to report first-quarter 2024 results on May 22.
For the first quarter, the Zacks Consensus Estimate for sales is pegged at $10.42 billion, indicating growth of 90.1% from the prior-year quarter’s reported figure.
The consensus mark for earnings per share is pinned at $1.60, suggesting a rise of 58.4% from the year-ago quarter’s reported number. The estimate has been unchanged over the past 30 days.
PDD Holdings’ earnings surpassed the Zacks Consensus Estimate in the trailing four quarters, the average surprise being 39.1%.
PDD Holdings Inc. Price and EPS Surprise
PDD Holdings Inc. price-eps-surprise | PDD Holdings Inc. Quote
Factors to Note
PDD’s growing efforts to drive innovation across its products and services through advanced technologies are likely to have continued benefiting its quarterly performance.
The company’s strength across the e-commerce business on the back of robust Pinduoduo and growing efforts toward the integration of online traffic with offline retail experiences are likely to get reflected in the upcoming results.
PDD Holdings’ growing efforts to bolster agriculture and grocery businesses are expected to have contributed well to the top line in the quarter under discussion.
Strengthening partnerships with local communities, shops, farmers and agri-merchants are expected to have aided its performance in the quarter under review.
Increasing consumer interest across different categories like agriculture produce, FMCG, household electronics and cosmetics are likely to have been a tailwind.
The company’s growing efforts to support the new generation of farmers and merchants, who are skilled in both agriculture and e-commerce, are expected to have contributed well.
Solid momentum across its online marketing and transaction services is expected to have continued driving top-line growth in the quarter under review.
The rising advertising demand from merchants on PDD’s platform is anticipated to have benefited the company in the to-be-reported quarter.
However, high inflation and low consumer discretionary spending are anticipated to have been concerning for the company in the quarter under review.
Increasing expenditure for online and offline advertisements, as well as promotional activities, is likely to have affected the quarterly performance.
The impacts of increasing payment processing fees, higher costs for cloud services and expenses associated with online marketing services are expected to get reflected in the first-quarter results.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for PDD Holdings this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here.
PDD currently has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
PDD Holdings sports a Zacks Rank #1 at present.
Stocks to Consider
Here are some companies that have the right combination of elements to post an earnings beat this quarter.
NVIDIA NVDA has an Earnings ESP of +3.62% and a Zacks Rank #2 at present. You can see the complete list of today's Zacks #1 Rank stocks here.
NVIDIA is scheduled to release first-quarter fiscal 2025 results on May 22. The Zacks Consensus Estimate for NVDA’s earnings is pegged at $5.49 per share, suggesting a significant jump from the prior-year quarter’s reported figure of $1.09.
Abercrombie & Fitch ANF has an Earnings ESP of +2.87% and a Zacks Rank #2 at present.
Abercrombie & Fitch is set to report first-quarter 2024 results on May 29. The Zacks Consensus Estimate for ANF’s earnings is pegged at $1.54 per share, indicating a significant jump from the year-ago quarter’s reported figure of 39 cents.
Agilent Technologies A has an Earnings ESP of +0.42% and a Zacks Rank #3 at present.
Agilent Technologies is set to report its second-quarter fiscal 2024 results on May 29. The Zacks Consensus Estimate for A’s earnings is pegged at $1.19 per share.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abercrombie & Fitch Company (ANF) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Agilent Technologies, Inc. (A) : Free Stock Analysis Report
PDD Holdings Inc. (PDD) : Free Stock Analysis Report
