JD-SW (09618.HK) +0.100 (+0.092%) Short selling $348.17M; Ratio 55.943% is strengthening its business, said rating agency S&P. The rapidly growing department store category and logistics business have made the company more resilient, while the proposed acquisition of Germany's Ceconomy AG will contribute to its investment portfolio.That being said, the still-substantial losses from new businesses like food delivery will limit JD-SW's earnings growth. In S&P's estimate, JD-SW will see its EBITDA margin recover to 2.8% by 2026, as it is striving to reduce losses in its food delivery business by improving operational efficiency. The company's EBITDA margin decreased from 5.3% in 2024 to 2.2% in 2025, the same year when losses from new businesses eroded 82% of the operating profit from retail and logistics businesses.Related NewsCLSA Expects MEITUAN-W's 4Q New Biz Loss to Have Deepened to RMB3.3BS&P believes it won't be easy for JD-SW to achieve a turnaround. JD-SW's zero-commission merchant promotion ended in 2025, and whether merchants will continue to stay on its platform without this promotion remains to be seen. On top of that, competition is still very fierce, as MEITUAN-W (03690.HK) -1.700 (-2.149%) Short selling $1.19B; Ratio 50.910% and BABA-W (09988.HK) -0.300 (-0.225%) Short selling $1.34B; Ratio 19.703% are committed to maintaining or expanding their market share.(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-03-11 16:25.)