Goldman Sachs revealed Monday that Pinduoduo (NASDAQ:PDD) is no longer on its Conviction List. The investment bank also downgraded PDD from Buy to Neutral, lowering the price target to $136 from $176.
PDD Holdings was on the firm's Conviction List for 95 days, delivering a total return of -22.7% and a relative return to the MSCI Asia Pacific Index of -33.4% (as of March 8, 2024 close).
The bank provided various reasons for the removal of the stock from the list, including the current risk-reward. Goldman Sachs also pointed to the rapidly shifting policy cross-border business landscape, including the recent H.R.7521 bill in the U.S.
At the time of writing, PDD shares are up more than 3%, trading around the $113.72 mark. However, the stock is down more than 21% in 2024.