JD.com (NASDAQ:JD – Get Rating) and NaaS Technology (NASDAQ:NAAS – Get Rating) are both retail/wholesale companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, profitability, institutional ownership, dividends and earnings.
Institutional and Insider Ownership
17.7% of JD.com shares are owned by institutional investors. Comparatively, 1.1% of NaaS Technology shares are owned by institutional investors. 16.6% of JD.com shares are owned by company insiders. Comparatively, 18.0% of NaaS Technology shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Valuation & Earnings
This table compares JD.com and NaaS Technology’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| JD.com | $151.69 billion | 0.32 | $1.51 billion | $1.76 | 19.92 |
| NaaS Technology | $13.46 million | 5.93 | -$817.34 million | N/A | N/A |
Profitability
This table compares JD.com and NaaS Technology’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| JD.com | 1.87% | 9.63% | 4.51% |
| NaaS Technology | N/A | N/A | N/A |
Volatility and Risk
JD.com has a beta of 0.44, meaning that its share price is 56% less volatile than the S&P 500. Comparatively, NaaS Technology has a beta of 1.3, meaning that its share price is 30% more volatile than the S&P 500.
Analyst Recommendations
This is a summary of current ratings for JD.com and NaaS Technology, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| JD.com | 0 | 5 | 6 | 0 | 2.55 |
| NaaS Technology | 0 | 0 | 0 | 0 | N/A |
JD.com presently has a consensus target price of $60.17, suggesting a potential upside of 71.61%. Given JD.com’s higher possible upside, analysts clearly believe JD.com is more favorable than NaaS Technology.
Summary
JD.com beats NaaS Technology on 8 of the 11 factors compared between the two stocks.
About JD.com
JD.com, Inc. is a technology-driven E-commerce company. It engages in the sale of electronics products and general merchandise products, including audio, video products, and books. It operates through the following segments: JD Retail, JD Logistics, and New Businesses. The JD Retail segment offers online retail, online marketplace, and marketing services. The JD Logistics segment includes internal and external logistics businesses. The New Businesses segment is composed of JD Property, Jingxi, overseas businesses and technology initiatives. The company was founded on June 18, 1998 by Qiang Dong Liu and is headquartered in Beijing, China.
About NaaS Technology
NaaS Technology, Inc. engages in the provision of electric vehicle charging services. The firm maintains an EV charging network in China through its charging network for third-party charging station operators, and the number of public DCFCs (direct current fast charger with 30kW power output or more) connected to its network. The company was founded by Zhen Dai and Yang Wang on July 16, 2013 and is headquartered in Beijing, China.
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