Yamato: Reaffirms "buy" rating for TRIP.COM-S (09961) and raises target price to 780 Hong Kong dollars.

Daiwa released a research report stating that it reiterates a "buy" rating for TRIP.COM-S (09961), with a 0.2% to 1.2% increase in revenue and earnings per share forecast for 2025 to 2026 to reflect the growth in inbound tourism revenue contribution. The target price has been raised from HK$675 to HK$780. Daiwa continues to list Trip.com as one of its top stock picks. The report mentions that Trip.com's overseas platform has been continuously gaining market share since 2024, and with the expected new visa-free policy in China, it is anticipated that the company will continue to benefit from inbound tourism opportunities. It is currently predicted that Trip.com's inbound tourism revenue will double in 2025, accounting for approximately 28% of Trip.com's revenue and about 4% of the group's total revenue. It is believed that the development of inbound tourism business can be a strong catalyst for growth.