Cuz it’s only listed in US for a short while so there are not much financial infos.
Here are a few key numbers for past five quarters: (margins are pretty good.)
The recent price action seems to be triggered by Ctrip. Ctrip.com lowered their 4th quarterly sales a lot, roughly from 117 m to 80m so that analysts downgraded the stock. I think that guidance might give the market a hint that the travel business in China for next quarter is not as bright as expected. If you look at the price chart for HTHT you’ll see at the end of July they raised the whole year revenue guidance which gave the stock a boost. Investors probably just think HTHT might also lower guidance for Q4 like CTRP.
So it looks like a group sell-off (CTRP, HMIN, HTHT) for the past few days. It might go down further before the earning release. On the bright side, when the earning announcement is due possibility of upside surprise is a little higher than downside as expectations has been lowered a lot. I’m guessing that the latest quarter should have good result but next one is not as great partly due to the end of Shanghai World Exhibit. Since it’s a growth stock (high PE ratio), pay attention to revenue growth and maybe margin. As long as the slow growth trend does not continue the stock should be ok.
From technical analysis point of view if the 13 moving average goes below 50 moving average the price becomes bearish. But TA again is just probability play; only for reference.
From technical analysis point of view if the 13 moving average goes below 50 moving average the price becomes bearish. But TA again is just probability play; only for reference.
Congratulations on your new house. I think both of you will be quite busy for a while but it is exciting. Thanks for the analysis! HTHT actually went up over 5% today because of the higher earning.I wondered why investors think tourism in China is going to slow down. Shanghai expo is definitely one important factor. I agree that Q4 might be questionable ...
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