New strategy updates
■ JD hosted an Investor Day last night to talk about its future strategy.
■ JD updated its Strategy 2.0, with three new strategic goals: 1) to empower the offline economy, 2) improve social well-being, and 3) promote a green economy. ■ JD’s core advantages lie in its over 8m SKUs, its nationwide logistics network, with only 31.2 days inventory, 500m customers, and the capability to deliver about 90% of its orders within two days. In 2021, JD expects to increase its customer base by over 100m, reaching 600m.
■ JD will continue to invest in Jingxi Pinpin, and it is confident that it can reach a higher ROI than its peers’ because of its logistics and supply chain advantages.
■ Reiterate Add with an unchanged DCF-based TP of HK$379.