Latest news with #VipshopHoldingsLimited
Yahoo
22-05-2025
- Business
- Yahoo
Vipshop Q1 Results Disappoint, Stock Tanks 2%
Shares of Vipshop Holdings Limited (NYSE:VIPS) fell by as much as 2% on May 20 after the Chinese e-commerce operator delivered disappointing first-quarter 2025 results. The discount shopping platform delivered a 5% year-over-year revenue decline and logged 26.27 billion Chinese yuan ($3.64 billion) in sales. The decline came as gross merchandise volume fell to RMB52.38 billion, compared to RMB52.44 billion delivered the same quarter last year. A close up of a person's hands interacting with a digital financial asset tracker. Consequently, net income attributable to shareholders dropped to RMB1.9 billion or $267.7 million compared to RMB2.3 billion delivered in the same quarter last year. On the other hand, it expects its second quarter revenues to average between RMB25.5 billion and RMB26.9 billion, representing a 5% to 0% year-over-year decline. Amid the disappointing first quarter results, CEO Eric Shen insists they made progress on strategic actions that should return the company to robust growth. For starters, Vipshop continues to expand its unique and high-quality off-price brand supply, which has driven double-digit growth in Super VIP customers. Despite the earnings miss and disappointing outlook, Jefferies has reiterated a Buy rating on the stock and an $18.30 price target. According to Jefferies, Vipshop boasts a healthy gross profit margin of 23.5% while generating strong returns. While we acknowledge the potential of Vipshop Holdings Limited (NYSE:VIPS) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VIPS and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None.
Yahoo
21-05-2025
- Business
- Yahoo
Vipshop Q1 Results Disappoint, Stock Tanks 2%
Shares of Vipshop Holdings Limited (NYSE:VIPS) fell by as much as 2% on May 20 after the Chinese e-commerce operator delivered disappointing first-quarter 2025 results. The discount shopping platform delivered a 5% year-over-year revenue decline and logged 26.27 billion Chinese yuan ($3.64 billion) in sales. The decline came as gross merchandise volume fell to RMB52.38 billion, compared to RMB52.44 billion delivered the same quarter last year. A close up of a person's hands interacting with a digital financial asset tracker. Consequently, net income attributable to shareholders dropped to RMB1.9 billion or $267.7 million compared to RMB2.3 billion delivered in the same quarter last year. On the other hand, it expects its second quarter revenues to average between RMB25.5 billion and RMB26.9 billion, representing a 5% to 0% year-over-year decline. Amid the disappointing first quarter results, CEO Eric Shen insists they made progress on strategic actions that should return the company to robust growth. For starters, Vipshop continues to expand its unique and high-quality off-price brand supply, which has driven double-digit growth in Super VIP customers. Despite the earnings miss and disappointing outlook, Jefferies has reiterated a Buy rating on the stock and an $18.30 price target. According to Jefferies, Vipshop boasts a healthy gross profit margin of 23.5% while generating strong returns. While we acknowledge the potential of Vipshop Holdings Limited (NYSE:VIPS) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VIPS and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-05-2025
- Business
- Yahoo
Vipshop Holdings (NYSE:VIPS) jumps 3.4% this week, though earnings growth is still tracking behind three-year shareholder returns
One simple way to benefit from the stock market is to buy an index fund. But if you pick the right individual stocks, you could make more than that. For example, the Vipshop Holdings Limited (NYSE:VIPS) share price is up 69% in the last three years, clearly besting the market return of around 48% (not including dividends). On the back of a solid 7-day performance, let's check what role the company's fundamentals have played in driving long term shareholder returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). Vipshop Holdings was able to grow its EPS at 30% per year over three years, sending the share price higher. This EPS growth is higher than the 19% average annual increase in the share price. Therefore, it seems the market has moderated its expectations for growth, somewhat. This cautious sentiment is reflected in its (fairly low) P/E ratio of 6.95. You can see how EPS has changed over time in the image below (click on the chart to see the exact values). Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here. As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of Vipshop Holdings, it has a TSR of 80% for the last 3 years. That exceeds its share price return that we previously mentioned. The dividends paid by the company have thusly boosted the total shareholder return. Vipshop Holdings shareholders are down 12% for the year (even including dividends), but the market itself is up 13%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. On the bright side, long term shareholders have made money, with a gain of 0.4% per year over half a decade. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For example, we've discovered 1 warning sign for Vipshop Holdings that you should be aware of before investing here. For those who like to find winning investments this free list of undervalued companies with recent insider purchasing, could be just the ticket. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
