NasdaqGS:TCOM

Stock Analysis Report

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Executive Summary

Trip.com Group Limited operates as a travel service provider for accommodation reservation, transportation ticketing, packaged tours and in-destination, corporate travel management, and other travel-related services in China and internationally.


Snowflake Analysis

High growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has Trip.com Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TCOM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.1%

TCOM

5.7%

US Online Retail

2.6%

US Market


1 Year Return

-19.9%

TCOM

69.8%

US Online Retail

15.4%

US Market

Return vs Industry: TCOM underperformed the US Online Retail industry which returned 71.2% over the past year.

Return vs Market: TCOM underperformed the US Market which returned 16.2% over the past year.


Shareholder returns

TCOMIndustryMarket
7 Day2.1%5.7%2.6%
30 Day3.7%8.8%6.1%
90 Day11.6%36.3%16.6%
1 Year-19.9%-19.9%69.9%69.8%17.8%15.4%
3 Year-48.6%-48.6%130.9%130.6%43.9%34.7%
5 Year-22.3%-22.3%306.9%306.1%76.2%57.3%

Price Volatility Vs. Market

How volatile is Trip.com Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Trip.com Group undervalued compared to its fair value and its price relative to the market?

1.19x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: TCOM ($28.04) is trading above our estimate of fair value ($18.26)

Significantly Below Fair Value: TCOM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TCOM is unprofitable, so we can't compare its PE Ratio to the US Online Retail industry average.

PE vs Market: TCOM is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TCOM's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TCOM is good value based on its PB Ratio (1.2x) compared to the US Online Retail industry average (4.2x).


Next Steps

Future Growth

How is Trip.com Group forecast to perform in the next 1 to 3 years based on estimates from 33 analysts?

108.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TCOM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: TCOM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: TCOM's is expected to become profitable in the next 3 years.

Revenue vs Market: TCOM's revenue (26.5% per year) is forecast to grow faster than the US market (9.4% per year).

High Growth Revenue: TCOM's revenue (26.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TCOM's Return on Equity is forecast to be low in 3 years time (5.8%).


Next Steps

Past Performance

How has Trip.com Group performed over the past 5 years?

25.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TCOM is currently unprofitable.

Growing Profit Margin: TCOM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TCOM is unprofitable, but has reduced losses over the past 5 years at a rate of 25.6% per year.

Accelerating Growth: Unable to compare TCOM's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TCOM is unprofitable, making it difficult to compare its past year earnings growth to the Online Retail industry (-13.7%).


Return on Equity

High ROE: TCOM has a negative Return on Equity (-2.9%), as it is currently unprofitable.


Next Steps

Financial Health

How is Trip.com Group's financial position?


Financial Position Analysis

Short Term Liabilities: TCOM's short term assets (CN¥64.6B) do not cover its short term liabilities (CN¥67.8B).

Long Term Liabilities: TCOM's short term assets (CN¥64.6B) exceed its long term liabilities (CN¥27.9B).


Debt to Equity History and Analysis

Debt Level: TCOM's debt to equity ratio (62.6%) is considered high.

Reducing Debt: TCOM's debt to equity ratio has reduced from 107.6% to 62.6% over the past 5 years.

Debt Coverage: TCOM's debt is not well covered by operating cash flow (11.6%).

Interest Coverage: TCOM is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Trip.com Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TCOM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TCOM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TCOM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TCOM's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: TCOM is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TCOM's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.2yrs

Average management tenure


CEO

Jane Sun (51 yo)

3.75yrs

Tenure

Ms. Jie Sun, also known as Jane, has been a Director at Tripadvisor, Inc. since July 15, 2020. Ms. Sun serves as a Director at MakeMyTrip Limited since August 30, 2019. Ms. Sun has been the Chief Executive ...


Leadership Team

NamePositionTenureCompensationOwnership
Jianzhang Liang
Co-Founder & Executive Chairman17yrsno data1.07%
CN¥ 175.1m
Jie Sun
CEO & Director3.75yrsno data0.46%
CN¥ 74.7m
Min Fan
Co-Founder7.42yrsno data1.77%
CN¥ 290.0m
Xiaofan Wang
CFO & Executive VP6.75yrsno datano data
Maohua Sun
COO & Executive VP3.75yrsno datano data
Xiong Xing
Executive Vice President4.25yrsno datano data
Yaming Ye
Vice President of Technology7.58yrsno datano data
Michelle Qi
Senior IR Directorno datano datano data
Victor Tseng
Chief Communications Officerno datano datano data
Jian Zhu
Senior Vice President12.58yrsno datano data
Lan Tang
Senior Vice President9.58yrsno datano data
Dongjie Guo
Senior Vice Presidentno datano datano data

7.2yrs

Average Tenure

51yo

Average Age

Experienced Management: TCOM's management team is seasoned and experienced (7.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jianzhang Liang
Co-Founder & Executive Chairman17yrsno data1.07%
CN¥ 175.1m
Jie Sun
CEO & Director3.75yrsno data0.46%
CN¥ 74.7m
Min Fan
Co-Founder7.42yrsno data1.77%
CN¥ 290.0m
Yanhong Li
Director4.83yrsno datano data
Jipei Li
Independent Vice Chairman17yrsno datano data
Jianping Gan
Independent Director18.58yrsno datano data
Nanpeng Shen
Co-Founder & Independent Director21.17yrsno datano data
Qi Ji
Co-Founder & Independent Director21.17yrsno datano data
Gillian Tans
Board Observer2.17yrsno datano data
Dou Shen
Director0.83yrno datano data

12.2yrs

Average Tenure

51yo

Average Age

Experienced Board: TCOM's board of directors are seasoned and experienced ( 12.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.3%.


Top Shareholders

Company Information

Trip.com Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Trip.com Group Limited
  • Ticker: TCOM
  • Exchange: NasdaqGS
  • Founded: 1999
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$16.411b
  • Shares outstanding: 588.42m
  • Website: https://www.trip.com

Number of Employees


Location

  • Trip.com Group Limited
  • 968 Jin Zhong Road
  • Shanghai
  • 200335
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TCOMNasdaqGS (Nasdaq Global Select)YesADSUSUSDDec 2003
CLVDB (Deutsche Boerse AG)YesADSDEEURDec 2003
CTRP NBMV (Bolsa Mexicana de Valores)YesADSMXMXNDec 2003
TCOMWBAG (Wiener Boerse AG)YesADSATEURDec 2003
0I50LSE (London Stock Exchange)YesADSGBUSDDec 2003

Biography

Trip.com Group Limited operates as a travel service provider for accommodation reservation, transportation ticketing, packaged tours and in-destination, corporate travel management, and other travel-relate ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/06 00:50
End of Day Share Price2020/08/05 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.