Trip.com Group (NASDAQ:TCOM) Shares Gap Down After Earnings Miss

Shares of Trip.com Group Limited (NASDAQ:TCOM) gapped down prior to trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $64.66, but opened at $59.04. Trip.com Group shares last traded at $56.43, with a volume of 4,095,461 shares trading hands.

The company reported $0.51 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.52 by ($0.01). The business had revenue of $1.75 billion for the quarter, compared to the consensus estimate of $12.32 billion. Trip.com Group had a net margin of 31.86% and a return on equity of 12.04%.

Analyst Upgrades and Downgrades

TCOM has been the topic of a number of research reports. HSBC raised shares of Trip.com Group from a “hold” rating to a “buy” rating and set a $75.00 target price on the stock in a research note on Tuesday, November 19th. Citigroup increased their price objective on Trip.com Group from $73.00 to $78.00 and gave the stock a “buy” rating in a report on Friday, January 3rd. Sanford C. Bernstein started coverage on shares of Trip.com Group in a report on Monday, November 4th. They set an “outperform” rating and a $85.00 target price on the stock. Macquarie boosted their price target on Trip.com Group from $75.40 to $80.80 and gave the stock an “outperform” rating in a research report on Wednesday, November 20th. Finally, StockNews.com upgraded Trip.com Group from a “hold” rating to a “buy” rating in a research note on Wednesday, November 20th. Ten research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Buy” and an average price target of $77.31.

Hedge Funds Weigh In On Trip.com Group

Several large investors have recently made changes to their positions in TCOM. GSA Capital Partners LLP bought a new position in Trip.com Group in the 3rd quarter worth approximately $384,000. LMR Partners LLP bought a new position in Trip.com Group during the third quarter valued at $18,435,000. Headwater Capital Co Ltd bought a new stake in Trip.com Group during the fourth quarter worth approximately $13,732,000. Massachusetts Financial Services Co. MA raised its holdings in Trip.com Group by 85.8% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 395,054 shares of the company’s stock valued at $23,478,000 after buying an additional 182,403 shares during the period. Finally, WT Asset Management Ltd lifted its holdings in shares of Trip.com Group by 92.3% in the 4th quarter. WT Asset Management Ltd now owns 44,416 shares of the company’s stock worth $3,050,000 after acquiring an additional 21,316 shares during the last quarter. 35.41% of the stock is currently owned by hedge funds and other institutional investors.

Trip.com Group Stock Down 12.5 %

The company has a 50-day simple moving average of $68.62 and a 200-day simple moving average of $61.55. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.42 and a quick ratio of 1.42. The firm has a market cap of $36.45 billion, a PE ratio of 16.91, a price-to-earnings-growth ratio of 0.67 and a beta of 0.37.

About Trip.com Group

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.