What caused PDD's Q2 2024 EPS to miss forecasts?

PDD's Q2 2024 EPS fell short of forecasts due to a combination of factors:

1. **Impact of Temu**: While Temu has been a significant growth driver for PDD, its rapid expansion has also led to increased costs. The app's aggressive pricing and marketing efforts have resulted in significant investments, which negatively impact profitability.
2. **Geopolitical Risks and Potential Tariffs**: There are concerns about election risks and potential tariffs affecting PDD, leading to a geopolitical discount on the stock. This uncertainty may have influenced investor sentiment and contributed to the EPS miss.
3. **Lack of Transparency**: PDD's business structure and financial reporting practices have been criticized for lack of transparency. The company does not break out segments like Temu or DuoDuo grocery, making it difficult for investors to assess the performance of specific business units.

In summary, PDD's Q2 2024 EPS miss can be attributed to the impact of Temu's aggressive expansion, geopolitical risks, and lack of transparency. These factors combined create a challenging operating environment for the company, leading to a shortfall in EPS relative to forecasts.