PDD Holdings Inc - ADR PDD shares are trading lower by 8.95% to $85.06 Tuesday morning. Shares are trading lower following a report JD.Com is planning a subsidy campaign.
What's Going On?
While JD.com enjoys a firm footing in higher-tier cities, its network is not as extensive as Pinduoduo's in lower-income regions, according to Zhuang Shuai, founder, and chief analyst at e-commerce consultancy Bailian.
While Chinese consumers are often attracted to cheap merchandise, he said that budget pricing is a double-edged sword that could lead to costly battles and red balance sheets, especially when growth in China's e-commerce sector has stagnated. "We've seen Pinduoduo make significant losses in its early days."...Read More
According to data from Benzinga Pro, PDD has a 52-week high of $106.38 and a 52-week low of $23.21.
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