Equity Analyst, LightStream Research

Oshadhi Kumarasiri

An equity research analyst with over 7 years of experience in multiple sectors. Previously worked for one of the world's largest asset managers with about USD2.5trn in AUM, covering small and micro-cap companies in the consumer sphere across Europe and developed Asia. Also experienced in covering multiple industries including banking, insurance and asset management, retail, tech, telco and REIT.

Equity Analyst

Pinduoduo: Community Group Buying Is Facing Multiple Challenges

Pinduoduo: A Beat Likely in 2Q22, But Medium-Term Consensus Is Still Hung Up On Old Assumptions

Pinduoduo: Management Warns That 2Q22 Is Not a Good Benchmark For Future

Pinduoduo: Foreign Investors Could Panic as VC Chief Trims His Holdings

Not Yet an Absolute Bargain, but PDD Is Our First Choice to Bottom Fish Chinese Tech

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/pinduoduo-inc" target="_blank" data-smartkarma-citation="entities:27250:1" rel="noopener">Pinduoduo (PDD US)</a> shares dropped 6.1% yesterday following the 4Q21 results as the company's revenue fell short of the consensus estimate by 8.9%.</li>
<li>Pinduoduo’s OP improved 223% QoQ to RMB 6.9bn (consensus RMB 3.2bn) through pushing back sales and marketing investments. However, it affected the company’s user growth as MAUs declined by 8.0m.</li>
<li>Consensus is yet to factor in the impact on user growth through reduced marketing spend, which makes further downside to Pinduoduo shares possible.</li>
</ul>



Pinduoduo (PDD US) shares dropped 6.1% yesterday following the 4Q21 results as the company's revenue fell short of the consensus estimate by 8.9%.
Pinduoduo’s OP improved 223% QoQ to RMB 6.9bn (consensus RMB 3.2bn) through pushing back sales and marketing investments. However, it affected the company’s user growth as MAUs declined by 8.0m.
Consensus is yet to factor in the impact on user growth through reduced marketing spend, which makes further downside to Pinduoduo shares possible.


PDD Holdings

Pinduoduo 4Q21: A Big Compromise