$TRIP.COM-S (09961.HK)$ Buy rating, target price of HKD 517. Due to the relatively broader domestic consumer base, travel demand is more elastic, so we maintain a forecast of 16% annual compound growth rate for Ctrip Group from 2024 to 2027.

Goldman Sachs noted Ctrip Group's dominant position in China's outbound tourism and expansion through its platform. Ctrip Group remains one of Goldman Sachs' top choices in the leisure/tourism sector in China, with a projected PE ratio of 13 times and 11 times for the next two years. Ctrip Group's management expressed their expectation to become a leading online travel agency (OTA) in Asia within the next five years. They anticipate a more balanced revenue proportion of 50%/50% between China and overseas, instead of the current 65%/35%.