Latest news with #JumiaTechnologies
Yahoo
18-04-2025
- Business
- Yahoo
Why Jumia Technologies (JMIA) is Among the Best Internet Retail Stocks to Buy According to Analysts
We recently published a list of . In this article, we are going to take a look at where Jumia Technologies (NYSE:JMIA) stands against other best internet retail stocks to buy according to analysts. Trade policies and tariffs have dominated the stock market since the beginning of April, resulting in volatility and uncertainty. However, CNBC reported on April 16 that retail sales rose 1.4% in March, surpassing expectations. CNBC reported earlier on April 15 that the March retail sales report had the potential to impact investor positioning and confidence. According to Dow Jones, economists and experts anticipated a 1.2% month-over-month growth. READ ALSO: and . CNBC reported that the primary catalyst for this growth is a pull-forward of consumer spending to get ahead of increased good prices brought about by tariffs. It also reported that Freedom Capital Markets chief global strategist Jay Woods opined that retail stocks could undergo a short-term bounce if the retail sales report were in line or better than expected. He said: 'Some of these names have gotten way too far ahead of themselves on the downside that bounces are natural. They've gotten beaten down and mean reversion could lead to a nice rally over the coming days.' Callie Cox, chief market strategist of Ritholtz Wealth Management, expressed similar sentiments, saying a strong retail sales report could potentially lead to a rise in consumer discretionary stocks. 'Consumer Discretionary stocks have been hit so hard that they may be more susceptible to a relief rally on the back of a retail sales report that doesn't show the economy is falling apart,' said Cox. With the retail sales report exceeding expectations, these analyst opinions could potentially come true. So let's look at the 11 best internet retail stocks to buy according to analysts. We sifted through stock screeners, financial media reports, and ETFs to compile a list of 30 internet retail stocks and chose the top 11 with the highest analyst upside potential as of April 17, 2025. We also added the number of hedge fund holders for each stock as of Q4 2024. We sourced the hedge fund sentiment data from Insider Monkey's database. The list is ordered in ascending order of analyst upside. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A woman in fashionable apparel shopping on an e-commerce platform. Analyst Upside: 79.27% Number of Hedge Fund Holders: 14 Jumia Technologies (NYSE:JMIA) operates an e-commerce platform that connects consumers and sellers through logistics, payment, and marketplace services. The company's platform operates in the Middle East and Africa and offers digital services and products, including fashion, smartphones, apparel, electronics, and financial solutions. The company experienced an 18% year-over-year growth in its physical goods orders in December, reflecting the growing demand on its platform. Jumia Technologies (NYSE:JMIA) anticipates growth between 15% and 20% year over year in the Physical Goods Order segment, supported by enhanced customer and seller experience, upcountry expansion, and product assortment expansion achieved through international sourcing. Its core marketplace business also grew in fiscal Q4 2024, with quarterly active customers increasing by 8%. Jumia Technologies (NYSE:JMIA) achieved these results while reducing its marketing spend from $6.2 million in fiscal Q4 2023 to $4.8 million in fiscal Q4 2024. The company takes the sixth spot on our list of the top internet retail stocks to buy according to analysts. Overall, JMIA ranks 6th on our list of the best internet retail stocks to buy for 2025. While we acknowledge the potential for JMIA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than JMIA but trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
02-04-2025
- Business
- Yahoo
Is Jumia Technologies (JMIA) the Best German Stock to Buy According to Hedge Funds?
We recently published a list of . In this article, we are going to take a look at where Jumia Technologies (NYSE:JMIA) stands against other best German stocks to buy according to hedge funds. Germany's economy is facing continued weakness. According to a report published by Roland Berger, the 0.1% contraction in 2023 and the 0.2% in 2o24 will only be countered by a 0.4% projected growth in 2025. While manufacturing orders are recovering modestly since June last year, business sentiments are still low and the industrial production for November was down 3,1% year-over-year. Unemployment also reached 2.81 million in December 2024, which was a 170,000 increase as compared to the same period last year. This pushed the unemployment rate to 6%. Inflation is now expected to average 2% in 2025, which is still down from the 2.2% figure from 2024. Earlier on March 6, Chris Verrone, Strategas, joined CNBC's 'Fast Money' to express his bullish outlook on the European market. He highlighted a shift in global cyclicality eastward and observed that the European industrials are achieving new highs. Verrone emphasized that the European banks have shown strength over the past 18 months but despite such trends, investors are still not heavily leaning towards European equities. He cited the German ETF under the name of EWG to support his stance, as EWG broke a 20-year high which indicated its departure from prolonged secular stagnation particularly within banks and industrials. However, he did note that energy and basic resources are not showing the same momentum. The conversation also covered the fact that investors have been overweight in US large-cap tech stocks over the past 12 to 13 years. Verrone relayed that observed extreme bearishness towards the European market as of December 2024, when he visited the region. He particularly noted that peripheral European markets, which include countries like Italy and Spain, have been leading. Whereas Germany has lagged. While Verrone mentioned that he heard Christine Lagarde, President of the European Central Bank, expressed pessimism about the European economy herself during the world economic forum in Davos, he still maintains his bullish outlook. He thinks that the European economic data is improving and global cyclicality has not been extinguished. We used the Finviz stock screener to compile an initial list of top German stocks. We then selected 12 German stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2024. The hedge fund data was sourced from Insider Monkey's database which tracks the moves of over 900 elite money managers. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A woman in fashionable apparel shopping on an e-commerce platform. Number of Hedge Fund Holders: 14 Jumia Technologies (NYSE:JMIA) operates an e-commerce platform across Africa and the Middle East, which connects sellers with consumers through its marketplace, logistics, and payment services. Its platform offers products and digital services such as electronics, fashion, and financial solutions. The company's Physical Goods Orders segment demonstrated growth in Q4 2024, with orders increasing by 18% year-over-year. This growth was achieved despite a reduction in marketing spend. Key drivers included successful Black Friday sales events, particularly in electronics and phones, and the expansion of international sourcing, with 31% of gross items sourced from international sellers, primarily China, which represented a 61% year-over-year increase. For 2025, Jumia Technologies (NYSE:JMIA) projects Physical Goods Orders to grow between 15% and 20% year-over-year, driven by upcountry expansion, product assortment expansion through international sourcing, and improvements in customer and seller experience. Upcountry orders accounted for 56% of Q4 orders, which was up from 49% in Q4 of 2023. The company plans to expand its J-Force agent network, particularly in these regions. J-Force is the company's network of independent sales consultants who promote and sell its products and services within their local communities. Overall, JMIA ranks 5th on our list of best German stocks to buy according to hedge funds. While we acknowledge the growth potential of JMIA, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than JMIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at . Sign in to access your portfolio
Zawya
26-02-2025
- Business
- Zawya
African online retailer Jumia sees growth despite Chinese competition
Africa-focused e-commerce retailer Jumia Technologies will grow orders by up to 25% and continue to cut costs this year while fighting to keep its market share from Chinese competitors like Temu seeking to expand on the continent, its CEO said recently. Jumia has been aggressively cutting costs to try to turn profitable, including by reducing head count, exiting everyday grocery items and food delivery and cutting delivery services not related to its e-commerce business. Francis Dufay said the African e-commerce market was deep enough for more players like Temu, which entered the Nigerian market in December. Jumia reached six million customers last year in nine countries, which have a combined population of 600 million people, including Africa's most populous, Nigeria. "They (Temu) are spending a lot of money so they can take a share, but the market is so big it will not hurt our potential to grow," Dufay told Reuters. "There's room for everyone to grow, even if they take some share of the market." Dufay said Jumia would expand to new cities and underserved rural areas while cutting costs on operations and logistics. The company is aiming to narrow its loss before tax by as much as a third to between $65-$70m this year, he added.
Yahoo
25-02-2025
- Business
- Yahoo
Analysts Just Shaved Their Jumia Technologies AG (NYSE:JMIA) Forecasts Dramatically
The latest analyst coverage could presage a bad day for Jumia Technologies AG (NYSE:JMIA), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. Both revenue and earnings per share (EPS) forecasts went under the knife, suggesting the analysts have soured majorly on the business. After this downgrade, Jumia Technologies' twin analysts are now forecasting revenues of US$185m in 2025. This would be a meaningful 11% improvement in sales compared to the last 12 months. Losses are presumed to reduce, shrinking 17% per share from last year to US$0.67. However, before this estimates update, the consensus had been expecting revenues of US$220m and US$0.46 per share in losses. Ergo, there's been a clear change in sentiment, with the analysts administering a notable cut to this year's revenue estimates, while at the same time increasing their loss per share forecasts. Check out our latest analysis for Jumia Technologies The consensus price target was broadly unchanged at €3.52, perhaps implicitly signalling that the weaker earnings outlook is not expected to have a long-term impact on the valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Jumia Technologies, with the most bullish analyst valuing it at €4.54 and the most bearish at €2.50 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view. One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Jumia Technologies' growth to accelerate, with the forecast 11% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.9% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 9.4% annually. Jumia Technologies is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors. The most important thing to note from this downgrade is that the consensus increased its forecast losses this year, suggesting all may not be well at Jumia Technologies. Lamentably, they also downgraded their sales forecasts, but the business is still expected to grow at roughly the same rate as the market itself. The lack of change in the price target is puzzling in light of the downgrade but, with a serious decline expected this year, we wouldn't be surprised if investors were a bit wary of Jumia Technologies. Still, the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Jumia Technologies going out as far as 2027, and you can see them free on our platform here. Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
