CICC: Maintains Outperform Rating on Ctrip Group-S (09961.HK) and Raises Target Price to 588.5 Hong Kong Dollars

According to the Wise Finance APP, CICC released a research report stating that it basically maintains the revenue forecast of Ctrip Group-S (09961, TCOM.US) for 2025/2026. Considering that marketing costs are better controlled than expected, the non-GAAP net profit forecast for 2025 has been raised by 8% to 17.7 billion yuan, and the non-GAAP net profit forecast for 2026 remains at 18.9 billion yuan. It maintains an outperform rating on the industry. The bank has switched to the 2026 PE valuation method (using a PE of 20 for 2026), maintaining a target price of $75.9 for US stocks and HK$588.5 for Hong Kong stocks. This corresponds to a 21x PE for non-GAAP for 2025/2026 US stocks and 20x for Hong Kong stocks, with 16% and 15% upside potential respectively compared to the current stock price. The company is currently trading at 18x and 17x non-GAAP PE for 2025/2026 US and Hong Kong stocks.