After soaring in 2023, share prices of PDD Holdings (NASDAQ: PDD) are down 20% so far this year. However, the company, which operates Pinduoduo and Temu, has been gaining market share against other e-commerce platforms in China. This presents a buying opportunity for investors, according to analysts at Jefferies.

The firm recently upgraded the stock to buy with a price target of $157, representing a 33% upside from the current share price of $118.

PDD hasn't reported fourth-quarter results yet, but in the third quarter of 2023, revenue grew 94% year over year. The e-commerce holding company is winning over customers with its focus on value. PDD believes its Temu cross-border service is still in the early stages of expanding its customer reach overseas.

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Source Fool.com