5 Best Asian Stocks To Buy Heading Into 2023

2. JD.com, Inc. (NASDAQ:JD)

Number of Hedge Fund Holders: 67

JD.com, Inc. (NASDAQ:JD) is a Beijing-based company that provides supply chain-based technologies and services in the People’s Republic of China. The company offers computers, communication, consumer electronics products, home appliances, general merchandise products, and healthcare products on its platform. JD.com, Inc. (NASDAQ:JD)’s annual active customer accounts increased by 6.5% to 588.3 million in the twelve months ended September 30, 2022.

On November 21, Citi analyst Alicia Yap raised the price target on JD.com, Inc. (NASDAQ:JD) to $90 from $85 and maintained a Buy rating on the shares following the Q3 beat. Management conveyed that the better profitability achieved through efficiency and lower costs will be sustainable, the analyst wrote in a research note. She believes JD.com, Inc. (NASDAQ:JD) remains well positioned to capture fast growth in revenue and active user count once the pandemic is over.

According to Insider Monkey’s data, 67 hedge funds were bullish on JD.com, Inc. (NASDAQ:JD) at the end of September 2022, compared to 62 funds in the prior quarter. Chase Coleman’s Tiger Global Management is the biggest stakeholder of the company, with approximately 30 million shares worth $1.50 billion. 

Here is what Argosy Investors has to say about JD.com, Inc. (NASDAQ:JD) in its Q3 2021 investor letter:

“We sold JD as a result of the furor over Chinese stocks during the quarter. We had been concerned about China’s lack of respect for investor rights for some time, and Beijing has become significantly more aggressive in asserting itself of late. In addition, the legal structure Chinese companies use to come public in the U.S., a Cayman Islands shell corporation leaves American investors with an unsure path to recovering value should these companies cease to trade on U.S. exchanges. Because of the uncertainty, we exited our position in JD completely. We still love JD’s long-term prospects, but we cannot estimate the legal/regulatory risk associated with these companies anymore. More broadly, we are freeing up cash for some other positions we already own which have declined in this market, and after additional review, remain attractive.”