Macquarie upgraded Trip.com Group Ltd from Neutral to Outperform. The firm raised its price target from $44.30 to $53.20. Second-quarter 2026 results showed 6% year-over-year revenue growth. International expansion surged 50% year-over-year, serving as a primary catalyst for the positive outlook.
Domestic operations face headwinds from a new regulatory environment in China. The company dismantled its core monetization and ranking algorithms to comply with these rules. This shift is expected to intensify competition and pressure pricing power. Trip.com also recognized a significant anti-monopoly fine during the second quarter. Analysts now await evidence that the company can maintain its market position despite these domestic changes.