Company stats

• online discount retailer for various brands in the People’s Republic of China
• limited inventory risk
• 6.5bn market cap
• 6.7bn cy15 revenue
• COGS is 75% of revenue (5.1bn)
• SG&A is largest expense line item at 71% of gross profit (1.2bn)
• 4% (260mm) net income margin
• >20% expected EPS growth
• multiple compression from China fears

Competition

• Alibaba (191bn)
• Dangdang (500mm)
• JD (31bn)
• Jumei (700mm)