Did you know there was another ecommerce giant besides Amazon and Alibaba?
In fact, it is headquartered in Ireland and is on pace to do $75 billion in revenue next year.
Even when I show you above it is called PDD Holdings (NASDAQ: PDD) it likely still escapes you who they are…or what they do.
It might help a little if I say they run Pinduoduo and Temu…but to be honest, I had no clue what they were until I started researching the stock.
This “identity crisis” for this stock may indeed be its best attribute as I believe it is leading them to be significantly undervalued for a thriving growth company. And that paves the way for the exciting investment opportunity before us.
They are riding the wave of 13 straight earnings beats including a 105% beat last quarter. This led to a DRAMATIC increase in earnings estimates for the future. For example, 2025 EPS estimates now stand at $14.12 when they were only a few months ago.
That exceptional earnings momentum is not showing up in the price which is only 11X next years earnings. Not what you would expect for a company growing profits 36% a year.
Even the average target price of $200 from analysts seems way to low when you appreciate the growth unfolding here. Thus, it is nice to see some of the top analysts pounding the table with targets of $230 up to $272 when shares are trading for nearly half that amount.
If they keep up the growth, then this is a very likely 100% winner by end of 2025 with even more exciting upside in the years ahead.
What To Do Next?
PDD is just one of the 9 stellar stocks found in my Zen Investor portfolio.
To learn more about our exclusive 4 step process to find more 100%+ stock winners…and to get your hands on the current top 9 recommendations…then all you need to do is click the link below.
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Wishing you a world of investment success!
Steve Reitmeister…but everyone calls me Reity (pronounced “Righty”)
Editor of the Zen Investor
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