5 Best Asian Stocks with Huge Upside Potential

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1. PDD Holdings Inc. (NASDAQ:PDD)

On May 28, 2026, Benchmark analyst Fawne Jiang lowered the firm’s price target on PDD Holdings Inc. (NASDAQ:PDD) to $127 from $160 and maintained a Buy rating on the shares after the company reported “disappointing” Q1 results. Jiang said monetization appears to be taking a backseat in the near term as PDD prioritizes ecosystem health. Benchmark expects the stock to remain in the “penalty box” until investors get better visibility into earnings normalization, though Jiang added that valuation has “become increasingly compelling.”

Citi analyst Alicia Yap also lowered the firm’s price target on PDD Holdings Inc. (NASDAQ:PDD) to $123 from $142 and maintained a Buy rating on the shares. Yap said the Q1 revenue miss reflected ongoing merchant subsidies and increased investments in supply chain and first-party brand initiatives. Citi agreed with PDD’s investment direction and said the investments could strengthen product quality for domestic consumers and Temu’s overseas consumers.

On May 27, 2026, PDD Holdings Inc. reported Q1 non-GAAP EPS of RMB9.51, below the consensus estimate of RMB16.37. Revenue totaled RMB106.2B, below the consensus estimate of RMB109.4B. Co-CEO Lei Chen said the quarter marked the start of “deep transformations” across the business, internal processes, and organization. Co-CEO Jiazhen Zhao said supply chain investments will be the company’s core strategic priority, while VP of Finance Jun Liu said PDD is investing “resolutely” in supply chain capabilities.

PDD Holdings Inc. (NASDAQ:PDD) is a multinational commerce group that owns and operates a portfolio of businesses.

While we acknowledge the potential of PDD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PDD and that has 100x upside potential, check out our report about the cheapest AI stock.

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