Jefferies Maintains Buy Rating for Dada Nexus: Here's What You Need To Know

Jefferies has decided to maintain its Buy rating of Dada Nexus DADA and lower its price target from $8.60 to $2.90.

Shares of Dada Nexus are trading up 1.3% over the last 24 hours, at $2.34 per share.

A move to $2.90 would account for a 23.93% increase from the current share price.

About Dada Nexus

Dada Nexus is a leading crowdsourced delivery service in China. The company has two core businesses, Dada Now, which is an on-demand delivery platform that provides last-mile and intracity services; and JD Daojia, or JDDJ, which is an online on-demand retail platform that connects consumers to merchants with its delivery capabilities. As of 2022, Dada Now accounted for 34% of revenue while JDDJ accounted for the rest. JDDJ and Dada Nexus merged in 2016, where JD.com received 47.4% ownership of the merged entity in exchange for its JDDJ business. As of June 2023, JD.com and Walmart Inc own 53.9% and 9.3% of Dada Nexus, respectively. Dada Nexus competes with other logistics companies such as SF Intra-City, with Didi in its delivery business, and with Meituan in its on-demand retail segment.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.