PDD Holdings Inc.
$78.97
+1.44 (+1.86%) · delayed · Nov 13, 2026
Five-year price
52w $71.94 to $131.57
- Market cap
- $468.3B
- Enterprise value
- $452.7B
- P/E
- 33.5×
- 37.0× on 3y avg EPS
- EV / EBIT
- 34.0×
- FCF yield
- 3.3%
- ROIC
- 25.0%
- Debt / equity
- —
- Piotroski F
- 6/9
Value scorecard · FY2025
Does it pass the value tests?
Quality
67
- ●ROIC > 12% (5y avg)5y avg ROIC 27.8%
- ●ROE > 15% (5y avg)5y avg ROE 25.7%
- ○Stable operating marginsMargin volatility 7.0% (σ, 5y)
- ●Earnings convert to cashFCF / net income 180% (5y avg)
- ●Growing revenueRevenue CAGR 5y 46.6%
- ○Shrinking share countDiluted shares 24.4% over 5y
Value
0
- ○P/E below 15P/E 33.5
- ○EV/EBIT below 12EV/EBIT 34.0
- ○FCF yield above 6%FCF yield 3.3%
- ○Price below Graham NumberGraham Number $23.01
- ○P/B below 3P/B 7.9
Safety
100
- –Debt / equity below 0.5D/E n/a
- ●Debt payable in < 4 yrs of earningsNet debt $-15.6B
- –Interest coverage > 8xCoverage n/ax
- ●Current ratio > 1.5Current ratio 2.43
- ●Piotroski F-score ≥ 6F-score 6/9
Graham Defensive
33
- ●Adequate size (revenue > $2B)Revenue $61.8B
- ●Strong condition (current ratio ≥ 2)Current ratio 2.43
- ○Earnings stability (no loss, 10y)8 years of data
- ○Uninterrupted dividendsDividends paid every year on record
- –Earnings growth ≥ 33% (10y, 3y avgs)n/a
- ○Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 37.0
- ○P/E × P/B ≤ 22.5Product 292.8
Valuation lab
What do you have to believe?
At $78.97, the market is pricing in about 10.8% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt −$15.6B · 5930M shares · 5y revenue CAGR 46.6%
Intrinsic value
$154.44
Price
$78.97
Margin of safety
49%
What the price implies
The market is paying for 10.8% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
70% of the value sits beyond year 10. That means the answer depends mostly on the long-run assumptions.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1,908 | 4,330 | 9,118 | 14,743 | 18,929 | 34,879 | 53,955 | 61,753 |
| Gross profit | 1,486 | 3,419 | 6,163 | 9,766 | 14,367 | — | — | — |
| Operating income | (1,571) | (1,226) | (1,438) | 1,082 | 4,408 | 8,268 | 14,854 | 13,313 |
| Operating margin | -82.3% | -28.3% | -15.8% | 7.3% | 23.3% | 23.7% | 27.5% | 21.6% |
| Pre-tax income | (1,486) | (1,001) | (1,100) | 1,522 | 5,258 | 10,124 | 18,180 | 17,099 |
| Income tax | — | — | 0 | 303 | 685 | 1,669 | 2,777 | 3,108 |
| Net income | (1,486) | (1,001) | (1,100) | 1,219 | 4,573 | 8,455 | 15,403 | 13,991 |
| EPS (diluted) | -0.50 | -0.22 | -0.23 | 0.21 | 0.79 | 1.45 | 2.60 | 2.36 |
| Diluted shares | 2,968 | 4,627 | 4,768 | 5,714 | 6 | 5,840 | 5,917 | 5,930 |
Who owns it