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<Research>CMBI Trims MEITUAN-W TP to HKD181.6 in Lack of ST Visibility in Food Delivery
MEITUAN-W (03690.HK) saw a 18% YoY upswing in 1Q25 revenue, beating both the broker's and market's forecasts by 1%, CMBI said in its report. Adjusted net profit gained 46% ...
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<Research>CMBI Trims MEITUAN-W TP to HKD181.6 in Lack of ST Visibility in Food Delivery
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MEITUAN-W (03690.HK)  -2.100 (-1.499%)    Short selling $1.63B; Ratio 17.427%   saw a 18% YoY upswing in 1Q25 revenue, beating both the broker's and market's forecasts by 1%, CMBI said in its report. Adjusted net profit gained 46% YoY, exceeding the broker's and market's forecasts by 12% and 13%, respectively.

Under intensified competition in the food delivery sector, industry participants are pouring in more resources to accelerate instant retail operations. Meituan is trading off short-term profitability to enhance user stickiness, aligning with the trend of accelerated industry penetration.

Related NewsCLSA Slashes MEITUAN-W's TP to HKD185; Delivery Competition & Global Expansion Heap Pressure on Profit Margins
Meituan continued its international expansion to drive long-term revenue and profit growth. The broker remained optimistic about Meituan's competitive advantage in food delivery and believed industry competition should return to rationality at an appropriate time, although short-term visibility remains low.

CMBI revised down its revenue forecast for Meituan from 2025 to 2027 by 1-2%, and adjusted net profit forecast by 11-21%. The TP was reduced from HKD200.2 to HKD181.6, with a Buy rating maintained.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-05-30 16:25.)

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