Dahua Jixian: First “Buy” rating target price for JD Logistics (02618) HK$18.72

The Zhitong Finance App learned that Dahua Jixian published a report saying that for the first time, JD Logistics (02618) was tracked, and the target price was HK$18.72. This was estimated based on the cash flow discount rate, giving it a “buy” rating. The bank mentioned that it predicts that the company's core profit for the whole year will reach 4.15 billion yuan, which is equivalent to a 109% year-on-year increase.

As a leading integrated supply chain and high-end e-commerce logistics service provider in China, JD Logistics is expected to benefit from potential domestic demand growth in the mainland. After achieving a convincing rebound in performance in the first half of 2024, JD Logistics expects core profit to grow at an average annual rate of 9.3% from 2025 to 2027. Cooperation with Alibaba (09988) is a major positive factor that may expand the company's growth path and consolidate its leading position in the high-end e-commerce logistics market.