American depositary receipts (ADRs) of PDD Holdings Inc. (NASDAQ:PDD) plunged nearly 30% on Monday, marking their worst performance since the company went public in 2018. The sharp decline comes amid widespread selling pressures triggered by the company’s dismal second-quarter earnings and a more pessimistic revenue forecast.
The sell-off was driven by a combination of lackluster second-quarter results and a bleaker revenue outlook that rattled investor confidence.
The Chinese retail giant reported quarterly revenues of RMB97.06 billion ($13.4 billion), an 86% increase from RMB52.28 billion in the same quarter of 2023. However, the figure fell short of analyst expectations, which were set at $13.78 billion.
Market Punishes PDD On Disappointing Q2 Results, Goldman Sachs Holds Bullish Outlook
Goldman Sachs analyst Ronald Keung, noted that the negative market reaction was likely driven by ...
