JPMorgan upgrades JD to Overweight with valuation at ‘inflection point’

JPMorgan analyst Andre Chang upgraded JD.com to Overweight from Neutral with a price target of $36, up from $33. The analyst believes the company’s strategy change and valuation “have reached an inflection point” for the shares to outperform over the next 12 months. Upside catalysts for JD include improving revenue growth and positive earnings revisions, the analyst tells investors in a research note. The firm believes JD’s valuation multiple is close to the low end of peers and implies on growth, which is overdone. It sees the company’s revenue growth improving in the second half of 2024.