Update shared on 09 Nov 2025
Fair value Decreased 0.062%Analysts have slightly lowered their price target for Atour Lifestyle Holdings from $43.79 to $43.77, as they cite anticipated robust growth in the company's innovative sleep solutions and sustained demand for key product lines.
Analyst Commentary
Recent street research highlights both positive outlooks and cautionary notes as analysts reassess Atour Lifestyle Holdings' growth trajectory and current valuation.
Bullish Takeaways- Bullish analysts see significant upside in Atour's innovative Planet Deep Sleep Solutions brand. The brand is resonating well with consumers and driving strong brand loyalty.
- The company is projected to achieve a 60% year-over-year increase in gross merchandise volume for 2025, which points to accelerating market demand.
- Key product lines such as the Deep Sleep Memory Foam Pillow and Deep Sleep Thermo-Regulating Comforter are experiencing consistent, robust demand that supports sustainable revenue growth.
- Analysts believe that execution on core offerings and expansion into wellness-driven sleep products could enhance Atour's long-term earnings and justify higher valuations.
- Cautious analysts remain watchful for potential overreliance on a narrow range of sleep-related products. Concentration risk could impact long-term growth stability.
- The revised, marginally lower price target signals that some uncertainty remains around the company's ability to consistently meet aggressive volume and growth expectations.
- There are concerns about increased competition in the broader home and sleep solutions markets, which could affect Atour's pricing power or slow its expansion momentum.
What's in the News
- The company issued earnings guidance for the full year 2025, projecting a 30% increase in total net revenues compared with 2024, based on current market conditions and preliminary estimates (Key Developments).
- The company announced operating results for the second quarter of 2025. The average daily room rate was RMB 433, compared to RMB 441 in Q2 2024 and RMB 418 in the previous quarter. The occupancy rate was 76.4%, compared to 78.4% in Q2 2024 and 70.2% in the previous quarter (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has fallen slightly, moving from $43.79 to $43.77.
- Discount Rate has decreased from 9.10% to 8.99%, indicating a more favorable risk assessment.
- Revenue Growth projections have increased marginally, from 23.28% to 23.29%.
- Net Profit Margin has remained steady, holding at 17.94%.
- Future P/E ratio has slightly decreased from 20.32x to 20.25x.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.