Golden Horse Financial News | Bocom Intl releases jd.com (09618) 3rd quarter performance outlook, expecting the company's total revenue to increase by 4.9% year-on-year (in RMB, the same below), in line with the bank's and the market's previous expectations. Expected adjusted net income is 10.9 billion yuan, a 2% increase year-on-year, with market expectations at 11.3 billion yuan.

The bank expects self-operated revenue to grow by a low single-digit percentage year-on-year, with the electrical category recovering from the 2nd quarter, and the daily department category showing high single-digit growth, driven by the trade-in program in September leading to a significant increase in electrical growth compared to July and August.

The bank is bullish on the sustained impact of the trade-in subsidy on driving large consumer goods consumption and the elasticity of performance improvement after consumption enhancement, benefiting from the stability and growth of profitability due to the improvement in supply chain capabilities in the retail trade business. Under the favorable operation of jd.com's logistics, with refined operation, maintaining a trend of profit margin improvement, the bank adjusts valuation to 2025, based on a 13 times 2025 pe for the company as a whole, raising the target price from $41/159 Hong Kong dollars to $56/217 Hong Kong dollars, maintaining a buy rating.