Trip.com Group Limited
Trip.com Group Limited Fundamental Analysis
Trip.com Group Limited (9961.HK) shows strong financial fundamentals with a PE ratio of 6.77, profit margin of 53.44%, and ROE of 20.98%. The company generates $62.0B in annual revenue with strong year-over-year growth of 19.73%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 80.6/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 9961.HK's fundamental strength across five key dimensions:
Efficiency Score
Excellent9961.HK demonstrates superior asset utilization.
Valuation Score
Excellent9961.HK trades at attractive valuation levels.
Growth Score
Excellent9961.HK delivers strong and consistent growth momentum.
Financial Health Score
Excellent9961.HK maintains a strong and stable balance sheet.
Profitability Score
Moderate9961.HK maintains healthy but balanced margins.
Key Financial Metrics
Is 9961.HK Expensive or Cheap?
P/E Ratio
9961.HK trades at 6.77 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 9961.HK's PEG of 1.16 indicates fair valuation.
Price to Book
The market values Trip.com Group Limited at 1.32 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.65 times EBITDA. This is generally considered low.
How Well Does 9961.HK Make Money?
Net Profit Margin
For every $100 in sales, Trip.com Group Limited keeps $53.44 as profit after all expenses.
Operating Margin
Core operations generate 25.31 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.98 in profit for every $100 of shareholder equity.
ROA
Trip.com Group Limited generates $12.42 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Trip.com Group Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Trip.com Group Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
9961.HK converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.77
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.16
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.32
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.60
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.19
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.55
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.12
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How 9961.HK Stacks Against Its Sector Peers
| Metric | 9961.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.77 | 23.80 | Better (Cheaper) |
| ROE | 20.98% | 1105.00% | Weak |
| Net Margin | 53.44% | -512.00% (disorted) | Strong |
| Debt/Equity | 0.19 | 0.78 | Strong (Low Leverage) |
| Current Ratio | 1.55 | 2.64 | Neutral |
| ROA | 12.42% | -8048.00% (disorted) | Strong |
9961.HK outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Trip.com Group Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
39.26%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
126.86%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
149.41%
Industry Style: Cyclical, Growth, Discretionary
High Growth