- Trip.com Group agrees to a share repurchase with MakeMyTrip, maintaining its position as the largest minority shareholder.
- Analysts predict a potential upside for Trip.com's stock price, implying growth opportunities for investors.
- Current consensus rates Trip.com as "Outperform," indicating positive market sentiment.
Trip.com Group (NASDAQ: TCOM) has engaged in a strategic share repurchase agreement with MakeMyTrip. The transaction involves Trip.com selling part of its Class B ordinary shares for cancellation purposes. Despite this divesture, Trip.com retains its status as the largest minority shareholder within MakeMyTrip. To facilitate this repurchase, MakeMyTrip will utilize funds sourced from convertible senior notes and a public share offering. Interestingly, the announcement led to a 5.39% decline in Trip.com's stock, bringing it to $57.188 during after-hours trading.
Analyst Predictions and Price Targets
Market analysts have been closely monitoring Trip.com Group Ltd (TCOM, Financial), providing a variety of price targets over the next year. According to 29 analysts, the average target price stands at $76.39. Notably, the highest forecasted price is $96.15, while the lowest is $60.41. These estimates indicate a potential upside of 26.38% from the current trading price of $60.45. Investors seeking further details can explore the Trip.com Group Ltd (TCOM) Forecast page on GuruFocus.
Market Sentiment and Recommendations
The investment community's outlook on Trip.com Group Ltd is largely positive, with a consensus recommendation of 1.8 from 31 brokerage firms, reflecting an "Outperform" status. This rating utilizes a scale from 1 to 5, where a score of 1 indicates a "Strong Buy" and 5 suggests a "Sell." Such a consensus underscores confidence in the company's potential market performance.
Moreover, GuruFocus provides an insightful GF Value estimate for Trip.com Group Ltd (TCOM, Financial) one year from now at $73.94. This valuation suggests an upside of 22.32% from the current stock price of $60.45. The GF Value is GuruFocus' assessment of the stock's fair market value, based on historical trading multiples, past business growth, and projections of future business performance. Investors can discover a wealth of detailed financial analyses on the Trip.com Group Ltd (TCOM) Summary page.
