Dada Nexus Stock Buy Hold or Sell Recommendation

DADA Stock  USD 1.89  0.01  0.53%   
Given the investment horizon of 90 days and your highly speculative risk level, our recommendation regarding Dada Nexus is 'Strong Buy'. Macroaxis provides Dada Nexus buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding DADA positions.
  
Check out Dada Nexus Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
For information on how to trade Dada Stock refer to our How to Trade Dada Stock guide.
In addition, we conduct extensive research on individual companies such as Dada and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Dada Nexus. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in unemployment.

Execute Dada Nexus Buy or Sell Advice

The Dada recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Dada Nexus. Macroaxis does not own or have any residual interests in Dada Nexus or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Dada Nexus' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Dada NexusBuy Dada Nexus
Strong Buy

Market Performance

OKDetails

Volatility

DangerousDetails

Hype Condition

StaleDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Investor Sentiment

InterestedDetails

Analyst Consensus

BuyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Dada Nexus has a Risk Adjusted Performance of 0.0988, Jensen Alpha of 0.553, Total Risk Alpha of 0.589, Sortino Ratio of 0.2062 and Treynor Ratio of 0.8975
We provide trade advice to complement the prevailing expert consensus on Dada Nexus. Our dynamic recommendation engine uses a multidimensional algorithm to analyze the company's potential to grow using all technical and fundamental data available at the time. To make sure Dada Nexus is not overpriced, please confirm all Dada Nexus fundamentals, including its operating margin, shares owned by institutions, revenue, as well as the relationship between the shares outstanding and price to book . Please also check Dada Nexus number of shares shorted to verify your buy or sell decision is consistent with all fundamental data available and that the company can sustain itself in the current economic cycle.

Dada Nexus Trading Alerts and Improvement Suggestions

Dada Nexus may become a speculative penny stock
Dada Nexus appears to be risky and price may revert if volatility continues
The company reported the previous year's revenue of 10.51 B. Net Loss for the year was (1.96 B) with profit before overhead, payroll, taxes, and interest of 2.76 B.
Dada Nexus currently holds about 4.98 B in cash with (380.84 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 19.47, which can makes it an attractive takeover target, given it will continue generating positive cash flow.
Latest headline from finance.yahoo.com: Why Dada Nexus Ltd Is Skyrocketing

Dada Nexus Returns Distribution Density

The distribution of Dada Nexus' historical returns is an attempt to chart the uncertainty of Dada Nexus' future price movements. The chart of the probability distribution of Dada Nexus daily returns describes the distribution of returns around its average expected value. We use Dada Nexus price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Dada Nexus returns is essential to provide solid investment advice for Dada Nexus.
Mean Return
0.56
Value At Risk
-5.03
Potential Upside
6.72
Standard Deviation
4.55
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Dada Nexus historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Dada Stock Institutional Investors

Shares
Walleye Trading Advisors, Llc2024-12-31
409.6 K
Marshall Wace Asset Management Ltd2024-12-31
404.6 K
Citadel Advisors Llc2024-09-30
370.6 K
Dimensional Fund Advisors, Inc.2024-12-31
260.5 K
Van Berkom And Associates Inc2024-12-31
224.9 K
Morgan Stanley - Brokerage Accounts2024-12-31
171.1 K
Cladis Investment Advisory Llc2024-12-31
167.5 K
Goldman Sachs Group Inc2024-12-31
149.9 K
Quinn Opportunity Partners Llc2024-12-31
136.4 K
Galileo (ptc) Ltd2024-09-30
6.6 M
Vanguard Group Inc2024-12-31
3.6 M
Note, although Dada Nexus' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Dada Nexus Cash Flow Accounts

202020212022202320242025 (projected)
Change To Inventory(1.9M)(1.6M)(2.8M)(444K)(510.6K)(536.1K)
Investments(206.0M)(432.0M)(1.0B)1.2B1.4B1.5B
Change In Cash4.4B(5.0B)1.1B744.4M669.9M703.4M
Free Cash Flow(1.1B)(2.7B)(949.2M)(388.1M)(446.3M)(468.6M)
Depreciation201.3M192.6M497.0M515.7M593.1M321.1M
Other Non Cash Items5.6M12.7M6.9M988.1M1.1B1.2B
Capital Expenditures23.9M16.9M3.7M7.2M6.5M6.2M
Net Income(1.7B)(2.5B)(2.0B)(2.0B)(1.8B)(1.8B)
End Period Cash Flow5.5B570.9M1.7B2.4B2.2B1.8B
Change To Netincome50.1M53.7M360.6M209.1M240.5M136.1M

Dada Nexus Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Dada Nexus or Consumer Staples Distribution & Retail sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Dada Nexus' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Dada stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
0.55
β
Beta against Dow Jones0.61
σ
Overall volatility
4.71
Ir
Information ratio 0.12

Dada Nexus Volatility Alert

Dada Nexus currently demonstrates below-average downside deviation. It has Information Ratio of 0.12 and Jensen Alpha of 0.55. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Dada Nexus' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Dada Nexus' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Dada Nexus Fundamentals Vs Peers

Comparing Dada Nexus' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Dada Nexus' direct or indirect competition across all of the common fundamentals between Dada Nexus and the related equities. This way, we can detect undervalued stocks with similar characteristics as Dada Nexus or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Dada Nexus' fundamental indicators could also be used in its relative valuation, which is a method of valuing Dada Nexus by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Dada Nexus to competition
FundamentalsDada NexusPeer Average
Return On Equity-0.36-0.31
Return On Asset-0.11-0.14
Profit Margin(0.21) %(1.27) %
Operating Margin(0.09) %(5.51) %
Current Valuation108.16 M16.62 B
Shares Outstanding259.8 M571.82 M
Shares Owned By Insiders2.46 %10.09 %
Shares Owned By Institutions13.67 %39.21 %
Number Of Shares Shorted3.64 M4.71 M
Price To Book0.75 X9.51 X
Price To Sales0.05 X11.42 X
Revenue10.51 B9.43 B
Gross Profit2.76 B27.38 B
EBITDA(1.45 B)3.9 B
Net Income(1.96 B)570.98 M
Cash And Equivalents4.98 B2.7 B
Cash Per Share19.47 X5.01 X
Total Debt15.13 M5.32 B
Debt To Equity0.02 %48.70 %
Current Ratio3.15 X2.16 X
Book Value Per Share18.21 X1.93 K
Cash Flow From Operations(380.84 M)971.22 M
Short Ratio1.20 X4.00 X
Earnings Per Share(1.11) X3.12 X
Price To Earnings To Growth1.38 X4.89 X
Target Price2.29
Number Of Employees2.38 K18.84 K
Beta1.41-0.15
Market Capitalization491.03 M19.03 B
Total Asset7.57 B29.47 B
Retained Earnings(15.78 B)9.33 B
Working Capital4.07 B1.48 B
Net Asset7.57 B

Dada Nexus Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Dada . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Dada Nexus Buy or Sell Advice

When is the right time to buy or sell Dada Nexus? Buying financial instruments such as Dada Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Dada Nexus in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Cars Thematic Idea Now

Cars
Cars Theme
Domestic and international companies involved in manufacturing and serving automobiles and trucks. The Cars theme has 41 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cars Theme or any other thematic opportunities.
View All  Next Launch
When determining whether Dada Nexus offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Dada Nexus' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Dada Nexus Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Dada Nexus Stock:
Check out Dada Nexus Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
For information on how to trade Dada Stock refer to our How to Trade Dada Stock guide.
You can also try the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
Is Consumer Staples Distribution & Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Dada Nexus. If investors know Dada will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Dada Nexus listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(1.11)
Revenue Per Share
38.12
Quarterly Revenue Growth
(0.07)
Return On Assets
(0.11)
Return On Equity
(0.36)
The market value of Dada Nexus is measured differently than its book value, which is the value of Dada that is recorded on the company's balance sheet. Investors also form their own opinion of Dada Nexus' value that differs from its market value or its book value, called intrinsic value, which is Dada Nexus' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Dada Nexus' market value can be influenced by many factors that don't directly affect Dada Nexus' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Dada Nexus' value and its price as these two are different measures arrived at by different means. Investors typically determine if Dada Nexus is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dada Nexus' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.