Here's Why Shares of JD.com are Lower Tuesday

Shares of JD.com (JD) - Get Report were lower Tuesday as MKM Partners downgraded the stock's rating to NEUTRAL from BUY. The firm also lowered the price target on the shares to $27 from $32. Analysts with MKM Partners are not as confident in JD.com's margin ramp versus Alibaba (BABA) - Get Report as the Chinese e-commerce rival has been stepping up its consumer electronics category. The analysts also added that they continue to believe that JD has a differentiated position that can grow at or above the market rate and can be a sustainable, profitable business over time. But the MKM analyst team is worried about near-term dynamics, and trimmed its marketplace growth outlook to 64% for this year.

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