Fitch revised down the Outlook on MEITUAN-W (03690.HK) -1.000 (-0.971%) Short selling $1.30B; Ratio 13.131% ’s Long-Term Issuer Default Rating (IDR) to Stable, from Positive, and affirmed the IDR at BBB+. Fitch also affirmed the company's senior unsecured rating and the rating on its outstanding US dollar senior notes at BBB+.The outlook adjustment reflected Fitch's expectation of a slowdown in Meituan's revenue growth, weakened profitability, and diminished FCF generation in the short term, primarily due to intense market competition in the food delivery and instant shopping sectors. However, Fitch expected the current intensity of the price war to ease within the next 6-12 months and anticipated Meituan to return to positive FCF by 2026.Related NewsBOCI Elevates Alibaba Group Holding (BABA.US) TP to US$170, Rating BuyFitch expected Meituan to maintain its dominant position in China's food delivery industry. Meituan's market share subsided in July and August compared to 1H25, but its leadership in main meal delivery remained largely unaffected. Fitch anticipated the current price competition to peak in 3Q25 and gradually ease by 2026.Under aggressive subsidy strategies from BABA-W (09988.HK) +5.500 (+4.173%) Short selling $3.74B; Ratio 18.607% and JD-SW (09618.HK) +1.300 (+1.065%) Short selling $139.61M; Ratio 10.460% , Fitch believed the current price war is unsustainable, as industry subsidy spending exceeds RMB40 billion each quarter and may face regulatory intervention, though the intensity and duration of the competition remain uncertain.(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-09-08 16:25.)