Meituan Outperformance May Gather Pace as Sales Bump Expected
source link: https://finance.yahoo.com/news/meituan-outperformance-may-gather-pace-000122701.html
Go to the source link to view the article. You can view the picture content, updated content and better typesetting reading experience. If the link is broken, please click the button below to view the snapshot at that time.
Meituan Outperformance May Gather Pace as Sales Bump Expected
(Bloomberg) -- A surge in sales expected for Meituan may be a catalyst to its shares, which have outperformed peers as services spending turns out to be a rare bright spot amid deepening investor pessimism.
Most Read from Bloomberg
The world’s largest meal delivery service is forecast to report a 32% surge in revenue for the second quarter later Thursday, its fastest growth since 2021, Bloomberg compiled data show. Such topline growth would beat Alibaba Group Holding Ltd.’s 14% increase and JD.com’s 7.6% rise reported earlier this month.
Meituan’s shares have advanced more than 4% over the past month, versus declines in Alibaba, JD, and PDD Holdings Inc. Year to date, Meituan remains deep in the red, having lost about 25% amid concerns over intensifying competition.
“Among its peers, Meituan should benefit the most from the surge in travel demand and dining out activities, with at least 30% of its profit this year coming from related business,” said Catherine Lim, an analyst at Bloomberg Intelligence.
--With assistance from Akshay Chinchalkar.
Most Read from Bloomberg Businessweek
©2023 Bloomberg L.P.
Recommend
About Joyk
Aggregate valuable and interesting links.
Joyk means Joy of geeK