Nomura Upgrades PDD to Buy, 35% Upside

Nomura raised PDD Holdings rating from Neutral to Buy, keeping target price $136, implying ~35% upside from $100.62 close.
The broker cites cheap valuation at 8.6× 2026 forward PE and strong overseas resilience despite tariff and import policy setbacks.
PDD’s Temu platform logged robust U.S. sales through 2025, aided by a US Supreme Court ruling overturning Washington tariffs.
Shares fell 20% over 12 months, lagging HSI tech index, while the new “New Pin Mu” initiative aims to address western scrutiny.