Zhixun Finance and Economics app learned that Citi released research reports stating that it maintains a 'buy' rating on Meituan-W (03690) with the target price raised from HK$155 to HK$192. The report pointed out that the company's cross-selling opportunities and cost synergies are improving, expected to translate into a steady improvement in core local business profit margins. Despite the potential increase in investment spending for the company's overseas expansion plans, income growth may accelerate again with the recovery of the Chinese macroeconomy. In addition, overall profit growth for the company may benefit from operating leverage and continue to outpace revenue growth.

The bank further pointed out that with the active support of the Chinese government's stimulus economic policies, consumer demands such as food delivery, local services, hotel and travel bookings may improve, with an increase in activities like taking taxis, bike sharing, and grocery retail.