News Formal

How Temu parent PDD dethroned Alibaba to become China's most valuable e-commerce company

  • 📰 CNBC
  • ⏱ Reading Time:
  • 30 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 32%
  • Publisher: 72%

Internet News

Technology,Alibaba Group Holding Ltd,Alibaba Group Holding Ltd

PDD Holdings reported stellar first-quarter results last week, sending its shares surging and driving its market-cap past that of rival Alibaba Group.

PDD's value-for-money positioning and growth of its Temu marketplace has helped the tech giant lead China's e-commerce arena, analysts said.

PDD's net income attributable to ordinary shareholders in the March quarter surged 246%, while that of Alibaba plunged 86%. "We think Temu's profitability will improve faster than previously estimated due to its introduction of the half consignment model, under which logistics costs will be borne by merchants," Morningstar said in a

Goldman Sachs on Friday raised PDD's rating to "buy" from "neutral," noting the firm's continued growth momentum in advertising revenue in the first quarter as well as Temu's potential.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Alibaba stock: Analysts are out with their earnings previewAlibaba stock: Analysts are out with their earnings preview
Source: Investingcom - 🏆 450. / 53 Read more »