Comprehensive Stock Comparison
Compare PDD Holdings Inc. (PDD) vs Newegg Commerce, Inc. (NEGG) Stock
Analyze side-by-side fundamentals, valuation, growth, and profitability to decide which stock is the better buy.
Selected Stocks
Add up to 10 tickers. Use presets or search to get started.
Quick Verdict
| Category | Winner | Why |
|---|---|---|
| Growth | PDD | 59.0% revenue growth vs NEGG's -17.5% |
| Quality / Margins | PDD | 24.4% net margin vs NEGG's -1.7% |
| Stability / Safety | PDD | Beta 0.82 vs NEGG's 1.27, lower leverage |
| Dividends | Tie | Neither pays a meaningful dividend |
| Momentum (1Y) | NEGG | +449.6% vs PDD's -8.8% |
| Efficiency (ROA) | PDD | 16.7% ROA vs NEGG's -6.1%, ROIC 40.3% vs -39.3% |
Who Each Stock Is For
Income & stability
Growth exposure
Long-term compounding (10Y)
Sleep-well-at-night portfolio
Defensive / Recession hedge
Business Model
What each company does and how it makes money
PDD Holdings operates Pinduoduo and Temu, two major e-commerce platforms that connect consumers directly with manufacturers and merchants. It generates revenue primarily through online marketing services—where merchants pay for advertising and promotions—and transaction fees from sales on its platforms. The company's key advantage lies in its deep integration of social commerce features and aggressive pricing strategies that drive high user engagement and network effects.
Newegg is an electronics-focused e-commerce retailer operating primarily in North America. It generates revenue through direct online sales of computer hardware, gaming gear, consumer electronics, and related products — with its marketplace also earning commissions from third-party sellers. The company's competitive advantage lies in its specialized focus on tech-savvy customers and its strong reputation within the PC building and gaming communities.
Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Financial Metrics Comparison
Side-by-side fundamentals across 2 stocks. BestLagging
Financial Scorecard
PDD leads in 4 of 6 categories — strongest in Financial Metrics and Valuation Metrics. 1 category is tied.
Financial Metrics (TTM)
PDD is the larger business by revenue, generating $418.5B annually — 318.7x NEGG's $1.3B. PDD is the more profitable business, keeping 24.4% of every revenue dollar as net income compared to NEGG's -1.7%. On growth, NEGG holds the edge at +12.5% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| RevenueTrailing 12 months | $418.5B | $1.3B |
| EBITDAEarnings before interest/tax | $93.0B | -$20M |
| Net IncomeAfter-tax profit | $102.3B | -$23M |
| Free Cash FlowCash after capex | $111.4B | $9M |
| Gross MarginGross profit ÷ Revenue | +56.6% | +11.3% |
| Operating MarginEBIT ÷ Revenue | +22.1% | -2.2% |
| Net MarginNet income ÷ Revenue | +24.4% | -1.7% |
| FCF MarginFCF ÷ Revenue | +26.6% | +0.7% |
| Rev. Growth (YoY)Latest quarter vs prior year | +9.0% | +12.5% |
| EPS Growth (YoY)Latest quarter vs prior year | +16.5% | +82.8% |
Valuation Metrics
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| Market CapShares × price | $577.6B | $866.0B |
| Enterprise ValueMkt cap + debt − cash | $570.8B | $866.0B |
| Trailing P/EPrice ÷ TTM EPS | 9.36x | -19.76x |
| Forward P/EPrice ÷ next-FY EPS est. | 1.18x | — |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 35.88x | — |
| Price / SalesMarket cap ÷ Revenue | 10.06x | 700.90x |
| Price / BookPrice ÷ Book value/share | 3.36x | 8.08x |
| Price / FCFMarket cap ÷ FCF | 32.76x | — |
Profitability & Efficiency
PDD delivers a 26.1% return on equity — every $100 of shareholder capital generates $26 in annual profit, vs $-20 for NEGG. PDD carries lower financial leverage with a 0.03x debt-to-equity ratio, signaling a more conservative balance sheet compared to NEGG's 0.69x. On the Piotroski fundamental quality scale (0–9), PDD scores 7/9 vs NEGG's 5/9, reflecting strong financial health.
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| ROE (TTM)Return on equity | +26.1% | -19.8% |
| ROA (TTM)Return on assets | +16.7% | -6.1% |
| ROICReturn on invested capital | +40.3% | -39.3% |
| ROCEReturn on capital employed | +42.4% | -28.2% |
| Piotroski ScoreFundamental quality 0–9 | 7 | 5 |
| Debt / EquityFinancial leverage | 0.03x | 0.69x |
| Net DebtTotal debt minus cash | -$47.2B | -$27M |
| Cash & Equiv.Liquid assets | $57.8B | $100M |
| Total DebtShort + long-term debt | $10.6B | $73M |
| Interest CoverageEBIT ÷ Interest expense | — | -54.15x |
Total Returns (with DRIP)
A $10,000 investment in PDD five years ago would be worth $5,572 today (with dividends reinvested), compared to $2,538 for NEGG. Over the past 12 months, NEGG leads with a +449.6% total return vs PDD's -8.8%. The 3-year compound annual growth rate (CAGR) favors NEGG at 16.9% vs PDD's 5.7% — a key indicator of consistent wealth creation.
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| YTD ReturnYear-to-date | -10.4% | -15.0% |
| 1-Year ReturnPast 12 months | -8.8% | +449.6% |
| 3-Year ReturnCumulative with dividends | +18.2% | +59.9% |
| 5-Year ReturnCumulative with dividends | -44.3% | -74.6% |
| 10-Year ReturnCumulative with dividends | +288.5% | -83.5% |
| CAGR (3Y)Annualised 3-year return | +5.7% | +16.9% |
Risk & Volatility
PDD is the less volatile stock with a 0.82 beta — it tends to amplify market swings less than NEGG's 1.27 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. PDD currently trades 74.4% from its 52-week high vs NEGG's 32.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.82x | 1.27x |
| 52-Week HighHighest price in past year | $139.41 | $137.84 |
| 52-Week LowLowest price in past year | $87.11 | $3.32 |
| % of 52W HighCurrent price vs 52-week peak | +74.4% | +32.3% |
| RSI (14)Momentum oscillator 0–100 | 49.5 | 45.5 |
| Avg Volume (50D)Average daily shares traded | 7.1M | 72K |
Analyst Outlook
Wall Street rates PDD as "Buy" and NEGG as "Buy". Consensus price targets imply 40.5% upside for PDD (target: $146) vs -82.6% for NEGG (target: $8).
| Metric | PDDPDD Holdings Inc. | NEGGNewegg Commerce, … |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $145.75 | $7.75 |
| # AnalystsCovering analysts | 27 | 1 |
| Dividend YieldAnnual dividend ÷ price | — | — |
| Dividend StreakConsecutive years of raises | 1 | — |
| Dividend / ShareAnnual DPS | — | — |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +0.0% |
Historical Charts
Charts are rendered on first load. Hover for details.
Chart 1Total Return — 5 Years (Rebased to 100)
| Stock | Mar 20 | Feb 26 | Change |
|---|---|---|---|
| PDD Holdings Inc. (PDD) | 100 | 275.79 | +175.8% |
| Newegg Commerce, In… (NEGG) | 100 | 37.87 | -62.1% |
PDD Holdings Inc. (PDD) returned -44% over 5 years vs Newegg Commerce, In… (NEGG)'s -75%.
Chart 2Revenue Growth — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| PDD Holdings Inc. (PDD) | $505M | $393.8B | +77908.4% |
| Newegg Commerce, In… (NEGG) | $738301.00 | $1.2B | +167254.0% |
Newegg Commerce, Inc.'s revenue grew from $1M (2015) to $1.2B (2024) — a 128.1% CAGR.
Chart 3Net Margin Trend — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| PDD Holdings Inc. (PDD) | -57.8% | 28.5% | +149.4% |
| Newegg Commerce, In… (NEGG) | -13.8% | -3.5% | +74.7% |
Newegg Commerce, Inc.'s net margin went from -14% (2015) to -4% (2024).
Chart 4P/E Ratio History — 4 Years
| Stock | 2021 | 2024 | Change |
|---|---|---|---|
| PDD Holdings Inc. (PDD) | 10.7 | 1.3 | -87.9% |
PDD Holdings Inc. has traded in a 1x–11x P/E range over 4 years; current trailing P/E is ~9x.
Chart 5EPS Growth — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| PDD Holdings Inc. (PDD) | -0.34 | 76 | +22452.9% |
| Newegg Commerce, In… (NEGG) | -27.74 | -2.25 | +91.9% |
Newegg Commerce, Inc.'s EPS grew from $-27.74 (2015) to $-2.25 (2024).
Chart 6Free Cash Flow — 5 Years
PDD Holdings Inc. generated $121B FCF in 2024 (+374% vs 2021). Newegg Commerce, Inc. generated $-4M FCF in 2024 (+93% vs 2021).
PDD vs NEGG: Frequently Asked Questions
8 questions · data-driven answers · updated daily
01Is PDD or NEGG a better buy right now?
PDD Holdings Inc. (PDD) offers the better valuation at 9.4x trailing P/E (1.2x forward), making it the more compelling value choice. Analysts rate PDD Holdings Inc. (PDD) a "Buy" — based on 27 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — PDD or NEGG?
Over the past 5 years, PDD Holdings Inc. (PDD) delivered a total return of -44.3%, compared to -74.6% for Newegg Commerce, Inc. (NEGG). A $10,000 investment in PDD five years ago would be worth approximately $6K today (assuming dividends reinvested). Over 10 years, the gap is even starker: PDD returned +288.5% versus NEGG's -83.5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — PDD or NEGG?
By beta (market sensitivity over 5 years), PDD Holdings Inc. (PDD) is the lower-risk stock at 0.82β versus Newegg Commerce, Inc.'s 1.27β — meaning NEGG is approximately 54% more volatile than PDD relative to the S&P 500. On balance sheet safety, PDD Holdings Inc. (PDD) carries a lower debt/equity ratio of 3% versus 69% for Newegg Commerce, Inc. — giving it more financial flexibility in a downturn.
04Which has better profit margins — PDD or NEGG?
PDD Holdings Inc. (PDD) is the more profitable company, earning 28.5% net margin versus -3.5% for Newegg Commerce, Inc. — meaning it keeps 28.5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PDD leads at 27.5% versus -4.2% for NEGG. At the gross margin level — before operating expenses — PDD leads at 60.9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
05Is PDD or NEGG more undervalued right now?
Analyst consensus price targets imply the most upside for PDD: 40.5% to $145.75.
06Which pays a better dividend — PDD or NEGG?
None of the stocks in this comparison currently pay a material dividend. All are effectively zero-yield and should be held for capital appreciation rather than income.
07Is PDD or NEGG better for a retirement portfolio?
For long-horizon retirement investors, PDD Holdings Inc. (PDD) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.82), +288.5% 10Y return). Both have compounded well over 10 years (PDD: +288.5%, NEGG: -83.5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
08What are the main differences between PDD and NEGG?
Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. In terms of investment character: PDD is a large-cap deep-value stock; NEGG is a large-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that beat both.