JD

LONG

JD.COM INC

Funds

Score

4.50

vs SPY

-15.3%

Stock return (since Q-end)

+1.0%

SPY return (since Q-end)

+16.3%

Current price

$28.83

News Summary

Neutral

JD.com beat Q1 2026 revenue expectations and posted record-high operating margins in its core retail segment, but non-GAAP net income collapsed 42% YoY and free cash flow turned sharply negative, weighed down by a RMB10.4 billion loss in New Businesses and aggressive spending. Electronics segment weakness persists due to high-base effects from 2025 subsidies, though diversification into General Merchandise and Logistics showed strength; management expects pressure through H1 2026 with recovery in H2.

Red flags

•Non-GAAP net income declined 42% YoY despite 4.9% revenue growth, indicating margin compression
•Negative free cash flow of RMB6.48 billion in Q1 2026, driven by RMB18.2 billion operating cash burn
•Core Electronics segment contracted 8.4% YoY, the company's historical growth engine
•New Businesses segment posted RMB10.4 billion operating loss, a significant drag on profitability
•Management guided subsidy-related margin pressure persists through H1 2026 with Q2 expected to face pressure

Funds Buying (3)

Fund	Manager	Shares Held	∆ Shares	Position Value	QoQ	Status
Point72	Steve Cohen	2.7M	+2.7M	$80.2B	—	NEW
Appaloosa LP	David Tepper	1.3M	+1.3M	$38.6B	—	NEW
Tiger Global	Chase Coleman	344K	+344K	$10.2B	—	NEW

Shares Held and Position Value reflect total quarter-end holdings. ∆ Shares is the change from the prior quarter.