Saiyi He, an analyst from CMB International Securities, maintained the Buy rating on Tongcheng Travel Holdings Limited (0780 – Research Report). The associated price target is HK$24.00.
Saiyi He has given his Buy rating due to a combination of factors including Tongcheng Travel Holdings Limited’s strong financial performance and promising future prospects. The company reported a significant increase in revenue and net profit for the fourth quarter of 2024, outperforming market expectations. This growth was largely driven by the accommodation reservation and tourism business segments, alongside improvements in operating efficiency.
Looking ahead, Saiyi He anticipates continued robust earnings growth for Tongcheng Travel in 2025, supported by resilient travel demand and further optimization of marketing strategies. The company’s international business is also expected to transition from a loss-making phase to profitability, contributing positively to overall financial performance. These factors, combined with an upward revision of net profit forecasts and a favorable valuation, underpin the Buy rating recommendation.
In another report released yesterday, Jefferies also maintained a Buy rating on the stock with a HK$24.10 price target.