On September 23, KeLong Hui | DBS published a report pointing out that Meituan is the leading online food delivery platform in mainland China. The bank expects the company to achieve a compound annual growth rate of 13% in delivery revenue from 2023 to 2026, adapting well to the changing consumer trends. If its strong momentum in low priced group buying services such as 'PindaoFan' continues, it will support the high peak of 8 million orders per day in the second quarter of this year. In addition, Meituan has entered the electronic grocery field through Meituan Select and Xiaoxiang Supermarket (formerly known as Meituan Maicai). The bank expects the compound annual growth rate of revenue from these new initiatives to reach 16% from 2023 to 2026. With the proactive loss reduction measures in Meituan Select driving the business, the bank expects the losses in this department to narrow by 63% this year. The bank rates Meituan as a 'buy', the preferred choice in the industry, and expects it to thrive in the digital economy. The target price has been raised from HK$161 to HK$198, anticipating adjusted profit growth of 88%, 27%, and 30% for Meituan from 2024 to 2026. With the focus on monetization on Douyin, the bank anticipates a more rational competitive environment where Meituan's offline business profits will continue to improve.