JDNEUTRAL

JD Return on Equity (ROE) Analysis

6.0%

Higher than 44% of Consumer Cyclical sector peers

Updated 358h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholders' equity; JD's current 6.0% means it earns $0.06 per dollar of equity.

Sector Performance

44th percentile

6.0%

Sector Median

8.5%

Sector Avg

-20.0%

Prior Period

8.7%(May 2026)

↓ Declining

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Deep Analysis

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholders' equity; JD's current 6.0% means it earns $0.06 per dollar of equity.

This sits below the sector median of 8.6%, placing JD in the 43rd percentile among Consumer Cyclical peers, indicating slightly weaker profitability relative to the industry. The historical data shows the most recent quarter's ROE dropped from 8.7% to 6.0%, a quarter-over-quarter decline of 31.0%; the year-over-year change is not available. The combination of a below-median ROE level and a sharp quarterly decline suggests increased risk, as the company's ability to generate returns on equity is deteriorating. This metric contradicts the overall NEUTRAL verdict, because a falling ROE well below the sector median typically signals a need for caution rather than a balanced outlook.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about JD?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does JD's Return on Equity (ROE) compare to its sector?

JD's Return on Equity (ROE) of 6.0% compares to a Consumer Cyclical sector median of 8.5%, placing it in the 44th percentile.

Who are JD's closest peers by Return on Equity (ROE)?

The closest Consumer Cyclical peers by Return on Equity (ROE) include: PVH (3.3%), APTV (1.8%), LI (-2.5%), HMC (-3.8%), CROX (-6.1%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.