- Trip.com‘s adjusted earnings per American Depositary Share (ADS) were 4.35 yuan, surpassing the estimate of 4.20 yuan.
- The company reported a revenue of 12.77 billion yuan, marking a 24% increase year-over-year, above the forecasted 12.33 billion yuan.
- Accommodation reservation revenue rose by 33% year-over-year to 5.18 billion yuan, beating the estimate of 5.05 billion yuan.
- Transportation ticketing revenue increased by 16% year-over-year, reaching 4.78 billion yuan, above the expected 4.67 billion yuan.
- Packaged-tour revenue climbed 24% year-over-year to 870 million yuan, exceeding the estimate of 783.2 million yuan.
- Corporate travel revenue saw an 11% year-over-year increase, totaling 702 million yuan, higher than the anticipated 644 million yuan.
- Other revenue categories grew 25% year-over-year to 1.24 billion yuan, slightly outpacing the estimate of 1.21 billion yuan.
- Gross profit was reported at 10.10 billion yuan, reflecting a 22% year-over-year growth, which was above the expected 9.94 billion yuan.
- James Liang, Executive Chairman, commented on the travel market’s resilience in 2024, highlighting travelers’ growing interest in exploration and cultural experiences.
- Trip.com received 35 buy ratings, 2 hold ratings, and 0 sell ratings from analysts.
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Trip.com on Smartkarma
Analyst coverage of Trip.com on Smartkarma reveals varying sentiments among top independent analysts.
Ming Lu points out that while travelers in China saw significant growth, revenue is expected to rise, however, signaling that the stock may be overvalued. On the other hand, Eric Wen maintains a bullish outlook, highlighting strong domestic and inbound travel for Trip.com despite lower revenue from outbound travel. Wen sees a positive trend and remains confident with a BUY rating and a target price of US$74. Meanwhile, Daniel Hellberg notes Trip.com‘s impressive YTD performance compared to leading Chinese airlines, though he anticipates no immediate upside in the share price. Wen, in another report, underscores Trip.com‘s beating of revenue estimates and plans for future growth, affirming a BUY rating and a raised target price of US$74.
A look at Trip.com Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Looking into the future for Trip.com Group Ltd., the company seems positioned for steady growth and resilience in the long term. With a strong focus on growth, resilience, and momentum indicated by its Smart Scores, Trip.com appears to be well-equipped to navigate challenges and capitalize on opportunities in the ever-evolving travel industry. Although the dividend score is lower, the company’s value proposition remains solid. Trip.com, a provider of various online travel agency services, including mobile applications, hotel reservations, flight ticketing, and more, is poised to benefit from its robust growth, resilience, and momentum factors.
Analysts who follow the Smartkarma Smart Scores for Trip.com suggest a positive long-term outlook based on the company’s overall performance indicators. With above-average scores in growth, resilience, and momentum, Trip.com is expected to continue its upward trajectory in the online travel sector. While the dividend score is comparatively lower, the company’s value score remains stable. As Trip.com expands its offerings in mobile applications, hotel reservations, flight ticketing, and more, investors may find potential for sustained growth and resilience in the company’s strategic positioning within the competitive travel market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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