PDD Holdings Inc. (PDD) Financial Ratios
9 years of historical data (2016–2024) · Consumer Cyclical · Specialty Retail
EV/EBITDA
↓
8.51
↑+96% vs avg
5yr avg: 4.35
30Y Low0.9·High10.7
P/FCF
↓
8.07
↑+24% vs avg
5yr avg: 6.52
30Y Low1.2·High18.4
P/B Ratio
↓
3.11
↑+116% vs avg
5yr avg: 1.44
30Y Low0.5·High3.5
ROE
↑
44.9%
↓+101% vs avg
5yr avg: 22.3%
30Y Low-102%·High45%
Debt/EBITDA
↓
0.10
↓-83% vs avg
5yr avg: 0.58
30Y Low0.1·High1.5
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
PDD Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
PDD Holdings Inc. trades at 8.7x earnings, 80% above its 5-year average of 4.8x, sitting at the 75th percentile of its historical range. Compared to the Consumer Cyclical sector median P/E of 19.3x, the stock trades at a discount of 55%. On a free-cash-flow basis, the stock trades at 8.1x P/FCF, 24% above the 5-year average of 6.5x.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $143.1B | $143.5B | $213.6B | $117.5B | $83.3B | $211.8B | $43.8B | $16.7B | — | — |
| Enterprise Value | $136.2B | $96.3B | $164.0B | $100.1B | $89.6B | $206.3B | $44.6B | $2.5B | — | — |
| P/E Ratio → | 8.68 | 1.28 | 3.56 | 3.72 | 10.72 | — | — | — | — | — |
| P/S Ratio | 2.48 | 0.36 | 0.86 | 0.90 | 0.89 | 3.56 | 1.45 | 1.27 | — | — |
| P/B Ratio | 3.11 | 0.46 | 1.14 | 1.00 | 1.11 | 3.52 | 1.78 | 0.88 | — | — |
| P/FCF | 8.07 | 1.19 | 2.28 | 18.36 | 3.27 | 7.52 | 2.96 | 2.15 | — | — |
| P/OCF | 8.00 | 1.18 | 2.27 | 16.70 | 2.89 | 7.51 | 2.95 | 2.14 | — | — |
P/E links to full P/E history page with 30-year chart
PDD EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
PDD Holdings Inc.'s enterprise value stands at 8.5x EBITDA, 96% above its 5-year average of 4.3x. The Consumer Cyclical sector median is 11.3x, placing the stock at a 25% discount on an enterprise-value basis.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.24 | 0.66 | 0.77 | 0.95 | 3.47 | 1.48 | 0.19 | — | — |
| EV / EBITDA | 8.51 | 0.88 | 2.76 | 3.07 | 10.68 | — | — | — | — | — |
| EV / EBIT | 8.56 | 0.89 | 2.79 | 3.29 | 12.99 | — | — | — | — | — |
| EV / FCF | — | 0.80 | 1.75 | 15.64 | 3.51 | 7.33 | 3.02 | 0.32 | — | — |
PDD Profitability
Margins and return-on-capital ratios measuring operating efficiency
PDD Holdings Inc. earns an operating margin of 27.5%, significantly above the Consumer Cyclical sector average of 2.9%. Operating margins have expanded from 23.3% to 27.5% over the past 3 years, signaling improving operational efficiency. Return on equity of 44.9% is exceptionally high — well above the sector median of 5.8%. ROIC of 40.3% represents excellent returns on invested capital versus a sector median of 5.8%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 60.9% | 60.9% | 63.0% | 75.9% | 66.2% | 67.6% | 79.0% | 77.9% | 58.6% | -14.5% |
| Operating Margin | 27.5% | 27.5% | 23.7% | 23.3% | 7.3% | -15.8% | -28.3% | -82.3% | -34.2% | -56.7% |
| Net Profit Margin | 28.5% | 28.5% | 24.2% | 24.2% | 8.3% | -12.1% | -23.1% | -77.9% | -30.1% | -57.8% |
Return on Capital
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 44.9% | 44.9% | 39.4% | 32.7% | 11.5% | -16.9% | -32.1% | -102.0% | -67.3% | -81.9% |
| ROA | 26.4% | 26.4% | 20.5% | 15.1% | 4.6% | -6.1% | -11.7% | -36.2% | -7.0% | -16.5% |
| ROIC | 40.3% | 40.3% | 37.0% | 25.1% | 7.6% | -17.5% | -42.4% | -576.7% | — | — |
| ROCE | 42.4% | 42.4% | 37.2% | 29.3% | 8.5% | -17.8% | -34.8% | -107.8% | -76.3% | -80.3% |
PDD Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
PDD Holdings Inc. carries a Debt/EBITDA ratio of 0.1x, which is very conservative (98% below the sector average of 4.3x). The company holds a net cash position — cash of $57.8B exceeds total debt of $10.6B, providing substantial financial flexibility for buybacks, acquisitions, or weathering downturns.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.03 | 0.03 | 0.05 | 0.14 | 0.17 | 0.28 | 0.27 | — | — | — |
| Debt / EBITDA | 0.10 | 0.10 | 0.17 | 0.52 | 1.52 | — | — | — | — | — |
| Net Debt / Equity | — | -0.15 | -0.27 | -0.15 | 0.08 | -0.09 | 0.04 | -0.75 | -2.54 | -3.70 |
| Net Debt / EBITDA | -0.43 | -0.43 | -0.83 | -0.53 | 0.75 | — | — | — | — | — |
| Debt / FCF | — | -0.39 | -0.53 | -2.72 | 0.25 | -0.19 | 0.06 | -1.83 | -9.98 | -1.50 |
| Interest Coverage | — | — | 1334.46 | 588.56 | 5.60 | -12.39 | -58.54 | — | — | — |
Net cash position: cash ($57.8B) exceeds total debt ($10.6B)
PDD Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
PDD Holdings Inc.'s current ratio of 2.21x is well above the 1.0 safety threshold, indicating strong short-term liquidity with ample room to cover current liabilities. The current ratio has improved from 1.85x to 2.21x over the past 3 years.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.21 | 2.21 | 1.93 | 1.85 | 1.72 | 1.78 | 1.60 | 1.66 | 1.08 | 1.24 |
| Quick Ratio | 2.20 | 2.20 | 1.93 | 1.85 | 1.72 | 1.76 | 1.60 | 1.66 | 1.08 | 1.24 |
| Cash Ratio | 1.76 | 1.76 | 1.42 | 1.28 | 0.99 | 1.04 | 0.90 | 0.89 | 0.26 | 1.14 |
| Asset Turnover | — | 0.78 | 0.71 | 0.55 | 0.52 | 0.37 | 0.40 | 0.30 | 0.13 | 0.29 |
| Inventory Turnover | 96.23 | 96.23 | — | — | 2234.30 | 11.22 | — | — | — | — |
| Days Sales Outstanding | — | 11.26 | 10.95 | 9.37 | 13.51 | 23.97 | 35.80 | 35.24 | 111.09 | 7.43 |
PDD Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
PDD Holdings Inc. does not currently pay a dividend and has no material buyback yield, reinvesting earnings back into the business. The earnings yield of 11.5% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — |
Total Shareholder Return Metrics
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 11.5% | 78.4% | 28.1% | 26.9% | 9.3% | — | — | — | — | — |
| FCF Yield | 12.4% | 84.3% | 43.8% | 5.4% | 30.6% | 13.3% | 33.8% | 46.5% | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — |
| Shares Outstanding | — | $1.5B | $1.5B | $1.4B | $1.4B | $1.2B | $1.2B | $742M | $861M | $861M |
Peer Comparison
Compare PDD with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 PDDYou | $143B | 8.7 | 8.5 | 8.1 | 60.9% | 27.5% | 44.9% | 40.3% | 0.1 |
 BABA | $319B | 16.8 | 12.8 | 27.8 | 40.0% | 14.1% | 11.8% | 9.6% | 1.4 |
 JD | $46B | 7.5 | 6.3 | 7.0 | 9.8% | 3.3% | 13.6% | 9.9% | 1.9 |
 VIPS | $8B | 6.7 | 2.7 | 9.3 | 23.5% | 8.5% | 19.3% | 40.5% | 0.3 |
 SE | $51B | 115.7 | 50.2 | 17.3 | 42.8% | 3.9% | 5.9% | 5.4% | 3.9 |
 MELI | $92B | 46.1 | 24.8 | 8.5 | 44.5% | 11.1% | 36.0% | 20.8% | 2.8 |
 CPNG | $38B | 188.7 | 52.5 | 71.9 | 29.4% | 1.4% | 4.8% | 14.5% | 6.8 |
 AMZN | $2.9T | 38.1 | 20.6 | 382.3 | 50.3% | 11.2% | 22.3% | 14.7% | 1.0 |
 EBAY | $48B | 24.3 | 20.8 | 29.0 | 71.5% | 20.5% | 41.6% | 16.8% | 2.9 |
 ETSY | $6B | 45.3 | 11.3 | 9.4 | 71.6% | 12.8% | — | — | 1.6 |
 BIDU | $44B | 13.1 | 9.9 | 23.0 | 50.3% | 16.0% | 8.7% | 4.8% | 2.2 |
| Consumer Cyclical Median | — | 19.3 | 11.3 | 14.6 | 37.9% | 2.9% | 5.8% | 5.8% | 4.3 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 9 years · Updated daily
Full PDD Stock Analysis
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Start ComparisonPDD — Frequently Asked Questions
Quick answers to the most common questions about buying PDD stock.
What is PDD Holdings Inc.'s P/E ratio?
PDD Holdings Inc.'s current P/E ratio is 8.7x. The historical average is 4.8x. This places it at the 75th percentile of its historical range.
What is PDD Holdings Inc.'s EV/EBITDA?
PDD Holdings Inc.'s current EV/EBITDA is 8.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 4.3x.
What is PDD Holdings Inc.'s ROE?
PDD Holdings Inc.'s return on equity (ROE) is 44.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -19.1%.
Is PDD stock overvalued?
Based on historical data, PDD Holdings Inc. is trading at a P/E of 8.7x. This is at the 75th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What are PDD Holdings Inc.'s profit margins?
PDD Holdings Inc. has 60.9% gross margin and 27.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does PDD Holdings Inc. have?
PDD Holdings Inc.'s Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.