Market Value of Hits Record High of 450B Yuan

Shares of  hit a record high on Janary 27 after rising steadily since December 2017. The price started at $48.23, broke through the $50 mark and closed at a record high of $50.5 a share.

At the same time, the market value of flew past the $70 billion milestone to reach $71.91 billion, or 459.4 billion yuan, which does not include the market value of JD Financial. At this point, is China’s fourth largest Internet company. And its gap with Baidu, China’s third largest Internet company, is only $18.4 billion. The market hasn’t reached a consensus on whether or Baidu will be the first to reach the $100 billion market value.

Investment institutions are bullish on

The price of shares rose in early December 2017. Before the increase, had two rounds of share devaluations, during which the market settled on a floor of $36 per share.

Just a few days ago, Richard Liu, chairman and chief executive of, also revealed in Davos that ‘s share price was seriously undervalued.

In addition to the executives, investment firms also believe is undervalued.

Statistics show since last November, due to strong sales during the Double 11 Festival and profitability for six consecutive quarters, 11 major brokerage companies such as Goldman Sachs, Citigroup, CICC, Deutsche Bank, Guotai Junan Securities and Shenwan Hongyuan Group bought shares. The target price is between $47 to $58.

In the meantime,  was reported to conduct several foreign investment plan, including strategic investment in Vipshop with Tencent and the Vietnamese e-commerce platform Tiki. On business development, purchased Taodang Auto after the layout on car market. These business will bring great potential of earnings.

Openness and cooperation have also opened new space for growth.

The market noticed that and Tencent have enhanced their cooperation since late last year. The two sides jointly built a wise and unbounded retail strategy. From Vipshop, Vietnam Tiki, to Yonghui Supermarket, both companies are more open-minded and integrate a greater business environment with an open, symbiotic and win-win attitude. They open the flow, technology, logistics, finance and other abilities to the partner. is breaking through the ceiling of traditional e-commerce company. The revenue gradually changed from traditional e-commerce business and logistics to retail infrastructure services. In the third quarter of last year, the net income of sustained high growth of 39.2 percent due to business growth based on the wise supply chain and logistics technology, as well as service business growth driven by precise marketing.

The logistics group also contributed a lot. By the end of the third quarter of 2017, logistics had 405 large warehouses – more than 9 million square meters of storage area nationwide. As the logistics infrastructure gradually opens to the outside, it will bring considerable marginal revenue for logistics. logistics is reportedly courting independent financing, with market valuation of more than $10 billion. Its independent listing is assumed to be inevitable, and that assumption gave a boost to the share price of

This article originally appeared in Lanjingtmt and was translated by Pandaily.