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Dingdong rings on its East China base to fatten profits

The nation’s top online grocer is trying to boost profits by focusing on membership services and its base in affluent Shanghai, as well as adjacent Zhejiang and Jiangsu provinces.

This article only represents the author's own views.

Leading online grocer Dingdong (Cayman) Ltd. (DDL.US) is emerging as a battleground between investors, who are quite negative on the company, and an analyst community that is quite positive. That growing divide was on display last Friday after Dingdong announced its latest quarterly results, which sent investors scurrying for the door, even as the 10 analysts who followed the company all rated it a “buy” or “strong buy.”

So, why such strongly differing views?

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