HK Stock Market Move | MEITUAN-W(03690) up more than 4% in early trading, Citi says dining merchants still rely on Meituan platform, its subsidiary KeeTa opens globalization process.

MEITUAN-W (03690) rose more than 4% in early trading, with a 3.22% increase at the time of writing, reaching 160.2 Hong Kong dollars with a turnover of 4.026 billion Hong Kong dollars. On the news front, on February 11, JD.com announced "zero commission" to recruit catering merchants to join. Citigroup stated that although this move may bring some pressure on Meituan's takeaway revenue and unit economic benefits in the short term, given the order volume and transaction conversion rate, it is believed that catering merchants will still rely on the Meituan platform. In addition, Meituan's subsidiary KeeTa has entered the Hong Kong and Middle East markets. Guosen expects the future contribution of KeeTa in Hong Kong and the Middle East to reach an annual profit of 5 billion yuan in scale. Guosen also pointed out that Meituan is a leader in local life, on the one hand, relying on rich offline scenes, sufficient Wuxi Online Offline Communication Information Technology Co., Ltd. merchant data and user data, actively incubating and researching related applications internally. On the other hand, Meituan actively enters into layouts in various areas such as big data, Siasun Robot & Automation, unmanned delivery, autonomous driving, and chip, through investing in companies like Yuezhi'anmian and Zhipu AI, as well as holding shares in Yushu Technology and Galaxy General, to build an AI ecosystem industrial chain.