Citibank: JD.com’s path to higher profits is clear, maintaining a buy rating

MaticHoleFiller · 2026-04-11T13:31:10+00:00

Citigroup analysts believe that if JD.com reduces investment in its loss-making food delivery division, profitability could improve, and losses are expected to be lower in 2026 than in 2025. The report states that JD.com's supply chain has defensive advantages and maintains a buy rating on JD.com ADRs with a target price of $35.00.

MaticHoleFiller

2026-04-11 13:31:10

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Citi analysts stated in a report that if management reduces investment in the loss-making food delivery division, JD.com’s path to profitability will become very clear. They forecast that, thanks to improved user experience and more efficient promotional activities, losses in 2026 will be smaller than in 2025. They added that JD.com’s extensive supply chain provides a strong and defensible moat that can withstand potential disruptions caused by AI-driven business models. The management’s commitment to returning value to shareholders through buybacks and dividends should also support its valuation. Citi maintains a buy rating on JD.com’s American Depositary Receipts (ADRs) and a target price of $35.00, citing its attractive valuation and strong free cash flow yield.

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