Goldman Sachs: Gives JD Logistics a "buy" rating with a target price of HKD 13.7

Goldman Sachs released a research report stating that, given JD LOGISTICS' leading position in the Chinese supply chain industry, along with its mature model and technological edge, Goldman Sachs has given JD LOGISTICS a "buy" rating, with a target price of 13.7 Hong Kong dollars based on a SOTP valuation. The report indicates that in the first half of this year, JD LOGISTICS' express delivery business grew faster than the industry average, mainly driven by strong growth in reverse parcel volumes from major live-streaming e-commerce platforms. At the same time, JD LOGISTICS' differentiation in the high-end express delivery market, the group believes that price competition's impact on its average selling price is manageable. JD LOGISTICS reiterated its outlook for high single-digit revenue growth and a 2.5% adjusted net margin prospect for 2024. It is expected that the third quarter will continue the momentum of the second quarter, with continued improvement in profits year-on-year.