New Street Research - Trip.com TCOM US (TCOM US) New Street: TCOM 2Q21 Earnings - Travel Recovery Slowed by Delta

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New Street Research

Jin Yoon

New Street: TCOM 2Q21 Earnings - Travel Recovery Slowed by Delta

What's New: Trip.com reported 2Q21 results were above consensus and our expectations. While domestic travel has strong rebounded in July, the resurgence of cases has meaningfully impacted domestic hotel and air ticket booking in August. Despite swift response to recent outbreak, domestic travel recovery momentum continues to be slow which could carryforward heading into 4Q. We maintain our NEUTRAL rating but lower our PT from USD38 to USD30 as we continue to wait on the international recovery coupled with the slow recovery in the domestic travel market. Our revised PT of USD30 implies a FY22E P/E of 30.7x.

Analysts:
Jin Yoon

29/09/2021 7 EN

Underlying

Trip.com TCOM US

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New Street Research

Provided by our team of experienced analysts, our work is idea driven, based on independence of thought, sector expertise, and firmly focussed on fundamentals and valuation.

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Analysts

Jin Yoon

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