A: We have a buy rating for JD.com Inc with a price target of US$29. They have a clear strategy and direction. As e-commerce penetration in China deepens, they will benefit. Plus, they have great execution.
For Alibaba, they are facing some temporary issues, including management shuffling and low mobile conversion. But once these issues are fixed, this is still a good company for the long term as their businesses have many potentials to expand and grow.
About Tian X. Hou:
Tian X. Hou is founder and CEO of T.H. Capital, an equity research and advisory firm based in New York and Beijing. Previously, she followed Chinese gaming, Internet and media equities at Pali Capital and C. E. Unterberg, Towbin. She also worked as a strategist at Sanford C. Bernstein and did advisory work for the Chinese central government.