Market Insight | Meituan-W Surges Over 4% in the Afternoon, New Buyback Plan Demonstrates Development Confidence, Optimistic Trend in Core Business
Meituan-W rose more than 4% in the afternoon, as of the time of publication, it rose by 4.09% to HKD 119.7, with a turnover of HKD 1.948 billion. On the news front, Meituan announced on June 18 that it would spend about HKD 500 million to repurchase 4.3098 million shares at a repurchase price of HKD 114.6 to HKD 118.8 per share. It is reported that Meituan has repurchased a total of 70.7502 million shares in the past three months, accounting for 1.13% of the company's issued share capital. The company previously announced a new repurchase plan, occasionally repurchasing shares in the open market for a total amount not exceeding USD 2 billion. Fuli believes that the USD 2 billion stock repurchase plan announced by the group is a positive factor, reflecting confidence in the prospects and creating value for shareholders. Bank of America Securities research report pointed out that Meituan's target price was raised by 5.2% from HKD 135 to HKD 142, raising the profit forecast for 2024-2026 by 3%-6%, mainly due to the improvement in profit trends. It reiterated a "buy" rating, mainly benefiting from the optimistic trend in core business and stable competition
According to the information from Zhitong Finance and Economics APP, Meituan-W (03690) surged more than 4% in the afternoon, rising by 4.09% to HKD 119.7 as of the time of publication, with a turnover of HKD 1.948 billion.
On the news front, Meituan announced on June 18th that it would spend approximately HKD 500 million to repurchase 4.3098 million shares at a repurchase price ranging from HKD 114.6 to HKD 118.8 per share. It is reported that Meituan has repurchased a total of 70.7502 million shares in the past three months, accounting for 1.13% of the company's issued share capital. The company previously announced a new repurchase plan, occasionally repurchasing shares in the open market for a total amount not exceeding USD 2 billion.
Furui believes that the USD 2 billion stock repurchase plan announced by the group is a positive factor, reflecting confidence in the prospects and creating value for shareholders. Bank of America Securities research report pointed out that Meituan's target price was raised by 5.2% to HKD 142 from HKD 135, with a 3%-6% increase in profit forecast for 2024-2026, mainly due to improved profit trends. It reiterated a "buy" rating, mainly benefiting from optimistic trends in core business and stable competition