Pinpoint Asset Management Singapore Pte. Ltd. Sells 21,320,306 Shares of PDD Holdings Inc. Sponsored ADR $PDD

Key Points

• Pinpoint Asset Management sharply cut its PDD stake by 97.1% in the fourth quarter, selling 21.3 million shares and leaving it with 625,807 shares worth about $71 million.
• Other hedge funds were still active in PDD, with large positions reported by firms such as Norges Bank and Assenagon Asset Management; overall, institutional investors own about 39.83% of the stock.
• Analyst sentiment remains mixed but generally cautious: PDD has a Moderate Buy consensus, yet recent reports cut price targets and the company is facing ongoing securities fraud investigations, adding legal and headline risk.

Pinpoint Asset Management Singapore Pte. Ltd. lessened its stake in shares of PDD Holdings Inc. Sponsored ADR (NASDAQ:PDD - Free Report) by 97.1% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 625,807 shares of the company's stock after selling 21,320,306 shares during the period. PDD accounts for 14.8% of Pinpoint Asset Management Singapore Pte. Ltd.'s portfolio, making the stock its 2nd largest holding. Pinpoint Asset Management Singapore Pte. Ltd.'s holdings in PDD were worth $70,960,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds also recently modified their holdings of PDD. Norges Bank bought a new stake in shares of PDD in the fourth quarter valued at approximately $1,065,446,000. Assenagon Asset Management S.A. boosted its position in shares of PDD by 305.8% in the fourth quarter. Assenagon Asset Management S.A. now owns 6,728,909 shares of the company's stock valued at $762,991,000 after acquiring an additional 5,070,827 shares during the period. Himalaya Capital Management LLC bought a new stake in shares of PDD in the second quarter valued at approximately $482,273,000. Orbis Allan Gray Ltd boosted its position in shares of PDD by 135.6% in the second quarter. Orbis Allan Gray Ltd now owns 5,647,728 shares of the company's stock valued at $591,091,000 after acquiring an additional 3,250,416 shares during the period. Finally, Aspex Management HK Ltd bought a new stake in shares of PDD in the third quarter valued at approximately $419,287,000. 39.83% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on PDD. Jefferies Financial Group reissued a "buy" rating on shares of PDD in a research report on Wednesday, May 27th. The Goldman Sachs Group reissued a "buy" rating on shares of PDD in a research report on Thursday, May 28th. Arete Research raised PDD from a "neutral" rating to a "buy" rating and set a $121.00 price objective for the company in a research report on Friday, April 17th. Sanford C. Bernstein reduced their price objective on PDD from $132.00 to $110.00 and set a "market perform" rating for the company in a research report on Wednesday, May 27th. Finally, Morgan Stanley set a $129.00 price objective on PDD in a research report on Wednesday, May 27th. Seven analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $131.33.

Key Stories Impacting PDD

Here are the key news stories impacting PDD this week:

• Negative Sentiment: Analysts have turned more cautious on PDD, with one report saying the stock’s modeled fair value was cut from US$148.52 to US$119.85, reflecting worries about heavier investment, softer monetization, and slower order growth. PDD Holdings (PDD) Stock Fair Value Falls After Analysts Cut Targets On Q1 Concerns
• Negative Sentiment: Multiple law firms are continuing securities fraud investigations into PDD Holdings, keeping legal and headline risk elevated for shareholders. Securities Fraud Investigation Into PDD Holdings Inc. (PDD) Continues
• Negative Sentiment: Another legal notice from Frank R. Cruz’s law firm said it is still investigating PDD, adding to concerns about possible federal securities-law violations. Securities Fraud Investigation Into PDD Holdings Inc. (PDD) Continues
• Neutral Sentiment: PDD is drawing unusual investor attention, with Zacks noting heavy web searches and option-market activity, which can signal rising speculation but does not by itself confirm a fundamental change. Investors Heavily Search PDD Holdings Inc. Sponsored ADR (PDD): Here is What You Need to Know
• Neutral Sentiment: Options-trading activity has also picked up around PDD, suggesting traders are positioning for a larger move, but the direction remains unclear. Do Options Traders Know Something About PDD Holdings Stock We Don't?

PDD Price Performance

Shares of PDD stock opened at $81.56 on Friday. The stock has a market cap of $116.09 billion, a P/E ratio of 8.81, a price-to-earnings-growth ratio of 0.85 and a beta of -0.02. PDD Holdings Inc. Sponsored ADR has a one year low of $78.87 and a one year high of $139.41. The stock has a fifty day moving average price of $95.33 and a 200 day moving average price of $103.40.

PDD (NASDAQ:PDD - Get Free Report) last issued its earnings results on Wednesday, May 27th. The company reported $1.38 EPS for the quarter, missing the consensus estimate of $2.40 by ($1.02). The firm had revenue of $15.41 billion during the quarter, compared to the consensus estimate of $15.92 billion. PDD had a return on equity of 24.32% and a net margin of 21.86%.The firm's revenue for the quarter was up 11.0% compared to the same quarter last year. During the same period last year, the business earned $1.57 earnings per share. Equities research analysts anticipate that PDD Holdings Inc. Sponsored ADR will post 9.92 EPS for the current year.

PDD Company Profile

PDD NASDAQ: PDD is the holding company best known for operating Pinduoduo, a China-based, mobile-first e-commerce platform that emphasizes interactive, social shopping and group-buying mechanics to drive user engagement and low prices. Founded in 2015 by entrepreneur Colin Huang, the business has grown by connecting consumers directly with merchants and manufacturers, with particular emphasis on value-oriented goods and fresh agricultural produce. The company is based in Shanghai and completed a U.S.

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