5 Best Asian Stocks To Buy Heading Into 2023

3. Pinduoduo Inc. (NASDAQ:PDD)

Number of Hedge Fund Holders: 54

Pinduoduo Inc. (NASDAQ:PDD) is one of the top Chinese stocks to monitor. The company operates an e-commerce platform in the People’s Republic of China. On October 28, Morgan Stanley analyst Eddy Wang reiterated an Equal Weight rating and a $65 price target on Pinduoduo Inc. (NASDAQ:PDD) ahead of the company’s Q3 report in November. The analyst believes Pinduoduo Inc. (NASDAQ:PDD)’s Q3 OMS revenue growth could be the next share price catalyst, and expects Pinduoduo’s Q3 OMS revenue to achieve nearly 40% growth year-over-year. The analyst noted that this growth figure would suggest 20%-25% GMV growth.

According to Insider Monkey’s third quarter database, 54 hedge funds were long Pinduoduo Inc. (NASDAQ:PDD), compared to 41 funds in the prior quarter. Rajiv Jain’s GQG Partners is the largest stakeholder of the company, with 5.20 million shares valued at $326 million. 

Here is what Tao Value has to say about Pinduoduo Inc. (NASDAQ:PDD) in its Q4 2021 investor letter:

“On the detracting side, one of our largest detractors includes Pinduoduo (ticker: PDD). Pinduoduo (PDD) reported the second consecutive GAAP profit quarter yet missed on the revenue due to nation-wide consumption weakness & scaled back Sales & Marketing efforts. Market disliked it and the stock price plunged on the earnings. In my opinion, the accounting profits proved the original thesis of using S&M to acquire users and using great shopping experience to keep them. After realizing the first growth curve, Pinduoduo now shifted its focus & investment to agriculture. It is still very early, but the reduced size due to price drop warrants a position to watch and continue to grow with such a team with a strong culture.”