Trip.com Group Sponsored ADR (TCOM) AI Stock Analysis

• Market Cap: $45.15B
• Dividend Yield: 0.4%
• Average Volume (3M): 2.34M
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.66
• Revenue Growth: 17.73%
• EPS Growth: 27.95%
• Country: US
• Employees: 41,073
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Services
• EPS (TTM): 1.01
• Shares Outstanding: 689,450,260
• 10 Day Avg. Volume: 1,933,405
• 30 Day Avg. Volume: 2,344,049
• PEG Ratio: 0.27
• Price to Book (P/B): 2.30
• Price to Sales (P/S): 6.15
• P/FCF Ratio: 17.22
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 0.62
• Enterprise Value/Gross Profit: 0.76
• Enterprise Value/Ebitda: 2.05
• 1Y Price Target: $82.82
• Price Target Upside: 18.08% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 73 Outperform
• Price Target: $84.00 ▲(19.76% Upside)

Trip.com Group Ltd. receives a strong overall score due to its robust earnings call performance and solid financial health, despite challenges in cash flow management. The technical analysis supports a bullish outlook, although the stock is currently overbought. Valuation metrics are reasonable, supporting the company's growth strategy.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, positioning the company for sustained expansion.

Technological Integration

AI integration enhances user experience and operational efficiency, driving customer engagement and potentially increasing market share.

International Market Expansion

Strong international growth reflects successful global strategy and diversification, reducing reliance on any single market and boosting resilience.

Negative Factors

Cash Flow Concerns

A decline in cash flow raises concerns about liquidity and the ability to fund operations or reinvest, potentially impacting long-term growth.

Geopolitical Risks

Geopolitical tensions can affect travel demand and operations, posing risks to revenue stability and strategic initiatives in affected regions.

Corporate Travel Revenue Decline

A decline in corporate travel revenue may indicate shifting market dynamics or competitive pressures, impacting a key revenue segment.

Trip.com Group Sponsored ADR Business Overview & Revenue Model

Company Description

Trip.com Group Limited, through its subsidiaries, operates as a travel service provider for accommodation reservation, transportation ticketing, packaged tours and in-destination, corporate travel management, and other travel-related services in China and internationally. The company acts as an agent for hotel-related transactions and selling air tickets, as well as provides train, long-distance bus, and ferry tickets; travel insurance products, such as flight delay, air accident, and baggage loss coverage; and air-ticket delivery, online check-in and seat selection, express security screening, real-time flight status tracker, and airport VIP lounge services. It also provides independent leisure travelers bundled packaged-tour products comprising group, semi-group, and customized and packaged tours with various transportation arrangements, including air, cruise, bus, and car rental services. In addition, the company offers integrated transportation and accommodation services; destination transportation and ticket, activity, insurance, visa, and tour guide services; user support, supplier management, and customer relationship management services; and in-destination products and services. Further, It provides its corporate clients with business visit, incentive trip, meeting and conference, travel data collection and analysis, and industry benchmarking solutions; and Corporate Travel Management System, an online platform that integrates information management, online booking and authorization, online inquiry, and travel reporting systems. Additionally, the company offers online advertising and financial services, such as marketing planning and travel media services. It operates under the Ctrip, Qunar, Trip.com, and Skyscanner brands. The company was formerly known as Ctrip.com International, Ltd. and changed its name to Trip.com Group Limited in October 2019. Trip.com Group Limited was founded in 1999 and is based in Singapore.

How the Company Makes Money

Trip.com Group generates revenue primarily through a commission-based model on bookings made through its platform. The company earns a percentage of the total transaction value from hotel reservations and flight ticket sales. Additionally, it benefits from service fees charged for various travel-related services, such as car rentals and travel insurance. Key revenue streams include direct bookings from consumers, corporate travel management services, and partnerships with airlines, hotels, and other travel service providers. Significant partnerships with major airlines and hotel chains enhance its offerings and increase customer reach, contributing to its overall earnings.

Trip.com Group Sponsored ADR Financial Statement Overview

Summary

Trip.com Group Ltd. demonstrates strong financial health with significant revenue and profit growth, efficient cost management, and a robust balance sheet. However, the recent decline in cash flow metrics highlights potential challenges in cash management or reinvestment strategies. Despite this, the company's solid profitability and stable leverage ratios position it well for future growth.

Income Statement

Trip.com Group Ltd. shows strong financial performance with consistent revenue growth, seeing a notable increase in Total Revenue from 20,039 million in 2022 to 53,294 million in 2024. The Gross Profit Margin improved from 77.5% in 2023 to 81.2% in 2024, indicating efficient cost management. Net Profit Margin stood at a healthy 32% in 2024, demonstrating robust profitability. The EBIT Margin increased to 26.6% in 2024, reflecting improved operational efficiency.

Balance Sheet

The balance sheet of Trip.com Group Ltd. is stable with a healthy Debt-to-Equity Ratio of 0.28 as of 2024, showing conservative leverage. The Return on Equity (ROE) is impressive at 11.97% in 2024, indicating efficient use of equity to generate profits. The company maintains a strong Equity Ratio of 58.8%, providing a solid financial foundation. There is a significant increase in Stockholders' Equity from 112,283 million in 2022 to 142,550 million in 2024, reflecting retained earnings and growth.

Cash Flow

While the operating cash flow was notably strong at 22,004 million in 2023, it dropped to zero in 2024, suggesting potential cash management issues or significant reinvestment. The Free Cash Flow in 2023 was substantial at 21,398 million but also fell to zero in 2024. The lack of Free Cash Flow growth raises concerns about cash generation sustainability, offsetting previous strong cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	57.29B	53.29B	44.51B	20.04B	20.02B	18.32B
Gross Profit	46.33B	43.30B	36.39B	15.53B	15.43B	14.29B
EBITDA	17.31B	15.03B	12.14B	960.00M	-393.00M	-209.00M
Net Income	18.05B	17.07B	9.92B	1.40B	-550.00M	-3.25B
Balance Sheet
Total Assets	252.44B	242.58B	219.14B	191.69B	191.86B	187.25B
Cash, Cash Equivalents and Short-Term Investments	80.02B	79.57B	59.34B	42.55B	49.38B	42.92B
Total Debt	39.68B	40.32B	45.57B	46.66B	51.72B	57.41B
Total Liabilities	102.96B	99.10B	96.13B	78.67B	81.40B	85.68B
Stockholders Equity	148.44B	142.55B	122.18B	112.28B	109.68B	100.35B
Cash Flow
Free Cash Flow	0.00	19.03B	21.40B	2.14B	1.90B	-4.36B
Operating Cash Flow	0.00	19.63B	22.00B	2.64B	2.48B	-3.82B
Investing Cash Flow	0.00	-6.05B	5.92B	1.14B	-4.15B	-3.82B
Financing Cash Flow	0.00	-6.71B	-2.55B	-6.72B	3.92B	6.03B

Trip.com Group Sponsored ADR Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 70.14
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TCOM, the sentiment is Neutral. The current price of 70.14 is below the 20-day moving average (MA) of 73.21, below the 50-day MA of 70.61, and above the 200-day MA of 64.57, indicating a neutral trend. The MACD of -0.64 indicates Positive momentum. The RSI at 40.27 is Neutral, neither overbought nor oversold. The STOCH value of 26.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TCOM.

Trip.com Group Sponsored ADR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABNB	77 Outperform	$76.37B	30.38	33.26%	―	10.23%	-44.56%
TCOM	73 Outperform	$45.15B	19.40	12.94%	0.40%	17.73%	27.95%
EXPE	72 Outperform	$26.42B	26.13	129.04%	0.56%	5.69%	47.33%
BKNG	67 Neutral	$160.50B	34.44	-146.32%	0.74%	11.72%	0.51%
MMYT	66 Neutral	$8.39B	100.99	22.38%	―	18.13%	-55.21%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
TRIP	61 Neutral	$1.80B	32.18	8.76%	―	3.03%	187.03%

Trip.com Group Sponsored ADR Corporate Events

Trip.com Group Reports Strong Q2 2025 Growth and New Share Repurchase Program

Trip.com Group Limited announced its unaudited financial results for the second quarter and first half of 2025, showing strong growth in its international businesses. The company reported a 16% increase in net revenue from the same period in 2024, driven by a surge in travel demand. Key highlights include a 60% year-over-year increase in international reservations and outbound bookings surpassing pre-COVID levels. The company also announced a new share repurchase program, authorizing up to US$5 billion in repurchases, reflecting its commitment to delivering value to shareholders.

Trip.com Group Releases 2025 Interim Financial Results

On August 28, 2025, Trip.com Group Limited released its unaudited financial results for the second quarter and first half of 2025. The interim report, published under the Hong Kong Listing Rules, includes a reconciliation of material differences between the company’s financial statements prepared under U.S. GAAP and IFRS. This disclosure aims to provide transparency and align with international reporting standards, potentially impacting the company’s financial reporting and investor relations.