Did Pinduoduo Just Prove the Bears Wrong?

Pinduoduo's (NASDAQ: PDD) stock recently surged to an all-time high after the company posted its first-quarter earnings. The Chinese e-commerce company's revenue rose 44% annually to 6.54 billion yuan ($924 million), beating estimates by $189 million but marking its slowest growth rate since its IPO.

Its net loss widened from 1.88 billion yuan to 4.12 billion yuan ($582 million). On a non-GAAP basis, its net loss also widened from 1.38 billion yuan to 3.17 billion yuan ($448 million), or $0.39 per ADS -- which missed consensus estimates by $0.11.

Pinduoduo's post-earnings pop suggests the bulls weren't too concerned about its widening losses and were more dazzled by its robust growth in revenue and users. But did this e-commerce underdog really prove the bears wrong?

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Source Fool.com