Hedge Fund Sentiment Has This To Say About JD.Com Inc (ADR) (JD)

However, the team of experts at Tiger Global might not have anticipated the Chinese economic pullback, which has seriously affected global stock markets, and the performance of JD.Com in particular. But the fundamentally-oriented investment firm is surely focused on the long-term performance of this company, which looks quite bright despite the current challenges and headwinds. As the letter suggests, Tiger Global is looking at JD.Com as five-year or ten-year investment and might hold on to this bullish position until the retailer achieves the expectations and delivers the desired returns.

Just recently, the management of JD.Com Inc (ADR) (NASDAQ:JD) announced a share buyback program in an attempt to revitalize its stock performance. To be more detailed, the Chinese e-commerce company is set to buy up to $1 billion worth of ADSs over the next two years. It is worth noting that JD.Com’s ADSs have lost more than 36% over the past three-month period, but managed to stay almost 5% in the green year-to-date. In the meantime, it seems that JD.Com has been gaining ground against its rival Alibaba Group Holding Ltd (NYSE:BABA), which still represents Asia’s largest e-commerce company. Many believe that JD.Com’s business model and ability to provide higher quality products through a direct delivery model will enable it to grow at a faster pace than Alibaba. JD.Com has been able to gain market share against its rival, as the company has achieved growth in sales that more than doubled the sales growth of Alibaba this year. Lone Pine Capital, founded by another Tiger Cub Steve Mandel, represents the third-largest shareholder of JD.Com, holding 41.89 million shares as of June 30.

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