$PDD is a business that is run for the benefit of insiders rather than shareholders.

Our analysis shows that $PDD might have underreported its employee count to U.S. investors according to their own statements in China. Undercounting employees overstates profitability in reported financials.

The local audit partners from Ernst&Young Hua Ming LLP are in our judgment untrustworthy and have audited numerous Chinese companies whose shares have proven next to worthless in the past.

Despite being a company with a market cap of appx $135 billion, $PDD has not had a CFO since 2018. The key financial positions are a revolving door. There seems to be no accountability.

Even the usually promotional sell side analysts have pointed out that $PDD ’s accounting is akin to a “Black Box” as disclosures becomes ever more opaque

We believe $PDD ’s financials are notoriously unreliable.

TEMU is demonstrably more dangerous than TikTok. The app should be removed from the Google and Apple app stores.

Slam closed a loophole affording TEMU access to U.S. consumers with a free pass on postage, customs inspections or tariffs. U.S. businesses don’t enjoy symmetrical rights to the Chinese consumer market.

Allows the U.S. to punish TEMU for exfiltrating users’ personal data to China without knowledge or permission.

A U.S. Congressional committee has already drafted HR 1153 which would seriously impair TEMU’s business model and/or empower the U.S. President to ban from the U.S.

TEMU is a notoriously bad actor in its industry. We see rampant user manipulation, chain-letter-like affinity scams to drive signups, and overall, the most aggressive and questionable techniques to manipulate large numbers of people to install the app.

TEMU is estimated to be losing $30 per order. Its ad spending and shipping costs (1-2 weeks from China, expedited to U.S. delivery) are astronomical. One is left wondering how this business could ever be profitable.

Cheap China shopping apps have previously proven that the business model is simply not sustainably profitable. Wish.com was a prominent case study and Shein an aggressive current competitor. TikTok has announced their entry into the space.

We strongly suspect that TEMU is already, or intends to, illegally sell stolen data from Western country customers to sustain a business model that is otherwise doomed for failure.

Contributing to the danger of mass data exfiltration is the fast uptake rate of the TEMU app: over 100 million app downloads in the last 9 months, all in U.S. and Europe. TEMU is not offered in China.

It is evident that great efforts were taken to intentionally hide the malicious intent and intrusiveness of the software.

The app has hidden functions that allow for extensive data exfiltration unbeknown to users, potentially giving bad actors full access to almost all data on customers’ mobile devices.

TEMU app software has the full array of characteristics of the most aggressive forms of malware /spyware

We believe $PDD is a Dying Fraudulent Company and its Shopping App TEMU is Cleverly Hidden Spyware that Poses an Urgent Security Threat to U.S. National Interests. Read our new report here: grizzlyreports.com/we-believe-pdd…