JD.com shares climb after announcing $5 billion share buyback, outperforming decline in Hang Seng

Published On Aug 27, 2024, 11:54 PM

JD.com announced a $5 billion share buyback, which led to a 1.2% increase in its Hong Kong shares and a 2.24% rise in its U.S. shares. This buyback is the second one this year for the company, following a $3 billion program in March. Analysts suggest that such buybacks are common in China amid low growth and share prices. JD.com's stock has fallen about 20% in 2024, despite outperforming the Hang Seng Index, which declined by 0.82%.

Read full article

Stock Forecasts

JDView JD chart on TradingView

Positive

The announcement of a significant share buyback can be seen as a positive signal, indicating that the company believes its shares are undervalued and is taking steps to enhance shareholder value. Additionally, as JD.com continues to invest in buybacks amidst a challenging economic environment for e-commerce in China, it may further solidify investor confidence in the company’s future prospects.

Related News

China e-commerce giants Alibaba, JD.com, Pinduoduo see stock surge after stimulus package

Sep 24, 2024, 12:09 PM

Chinese e-commerce stocks jumped after the country's central bank announced a broad stimulus package. Alibaba, JD.com, and Pinduoduo led the surge.

BABA
JD
PDD

JD.com shares climb after announcing $5 billion share buyback, outperforming decline in Hang Seng

Aug 27, 2024, 11:54 PM

The announcement is JD.com's second buyback this year, after announcing a $3 billion buyback in March.

JD