Zacks Research Downgrades Trip.com Group (NASDAQ:TCOM) to Strong Sell

Trip.com Group (NASDAQ:TCOM) was downgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report released on Tuesday,Zacks.com reports.

Several other brokerages also recently weighed in on TCOM. Nomura cut their price target on Trip.com Group from $71.00 to $51.00 and set a “neutral” rating on the stock in a report on Friday, June 26th. Weiss Ratings cut Trip.com Group from a “hold (c+)” rating to a “hold (c)” rating in a research note on Thursday, June 25th. Barclays lowered their price target on shares of Trip.com Group from $75.00 to $60.00 and set an “overweight” rating for the company in a report on Friday, June 26th. Mizuho dropped their price objective on Trip.com Group from $79.00 to $65.00 and set an “outperform” rating on the stock in a report on Thursday, June 25th. Finally, Bank of America cut their price target on shares of Trip.com Group from $78.00 to $64.00 and set a “buy” rating on the stock in a research note on Monday. Eight analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $65.56.

Trip.com Group Stock Performance

Shares of TCOM stock opened at $41.08 on Tuesday. Trip.com Group has a 52 week low of $38.04 and a 52 week high of $78.99. The firm has a 50 day moving average of $48.43 and a two-hundred day moving average of $55.65. The company has a quick ratio of 1.53, a current ratio of 1.53 and a debt-to-equity ratio of 0.06. The stock has a market capitalization of $26.68 billion, a PE ratio of 6.43, a P/E/G ratio of 3.05 and a beta of -0.03.

Trip.com Group (NASDAQ:TCOM) last announced its quarterly earnings data on Thursday, June 25th. The company reported $0.83 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.85 by ($0.02). The company had revenue of $2.35 billion during the quarter, compared to analyst estimates of $2.30 billion. Trip.com Group had a net margin of 48.26% and a return on equity of 17.57%. The firm’s revenue was up 17.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.82 earnings per share. On average, research analysts predict that Trip.com Group will post 3.27 EPS for the current fiscal year.

Hedge Funds Weigh In On Trip.com Group

Several institutional investors and hedge funds have recently added to or reduced their stakes in TCOM. Capital World Investors grew its holdings in Trip.com Group by 5.3% during the third quarter. Capital World Investors now owns 37,884,726 shares of the company’s stock worth $2,849,066,000 after acquiring an additional 1,912,238 shares during the period. Sanders Capital LLC increased its stake in shares of Trip.com Group by 7.2% during the 3rd quarter. Sanders Capital LLC now owns 9,868,196 shares of the company’s stock worth $742,088,000 after purchasing an additional 662,230 shares in the last quarter. Capital International Investors raised its holdings in shares of Trip.com Group by 0.6% in the third quarter. Capital International Investors now owns 6,379,206 shares of the company’s stock worth $479,742,000 after acquiring an additional 37,916 shares during the last quarter. Davis Selected Advisers raised its stake in Trip.com Group by 2.3% in the 4th quarter. Davis Selected Advisers now owns 5,053,389 shares of the company’s stock valued at $363,389,000 after purchasing an additional 111,944 shares during the last quarter. Finally, Cantillon Capital Management LLC lifted its stake in shares of Trip.com Group by 1.4% during the fourth quarter. Cantillon Capital Management LLC now owns 4,669,778 shares of the company’s stock valued at $335,804,000 after buying an additional 63,637 shares during the period. Institutional investors and hedge funds own 35.41% of the company’s stock.

About Trip.com Group

Trip.com Group (NASDAQ: TCOM) is a China-based online travel services company that provides a broad range of consumer and business travel products. The company operates consumer-facing travel platforms and mobile apps that enable users to search, book and manage hotel reservations, airline tickets, packaged tours, rail travel, car rentals, airport transfers and local activities. It also offers corporate travel management and B2B solutions that support travel suppliers and downstream distribution partners.

Headquartered in Shanghai, Trip.com Group serves customers across China and increasingly in international markets through a portfolio of brands and global distribution channels.