JD.com reports second-quarter results early Tuesday, which should provide insight into China's retail markets and consumer sentiment following disappointing official retail sales data for July. JD stock climbed 1.1% to close at 55.32 on the stock market today.
Analysts expect the e-commerce giant to report adjusted earnings of 41 cents a share, down 10% from the year-ago period. They see revenue of $38.5 billion, down 1% and a sharp slowdown from consistent double-digit growth in recent years. It would be JD's first quarterly decline from the year-ago period.
JD competes primarily against Alibaba, with the two being the largest e-commerce companies in China. Alibaba reported quarterly earnings early this month that beat expectations while indicating business conditions improved in June.
Like JD, however, Alibaba also posted its first quarterly revenue decline. JD and Alibaba have been hurt by sporadic Covid shutdowns, a harsh regulatory condition and weaker than expected macroeconomic conditions.
JD stock is down 20% this year.
Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.
