- TCOM offers a suite of travel products and services. The company operates some of the most well-known brands in China.
- In my opinion, partners and clients will continue their relationships with TCOM because of its invaluable technology. Among the different capabilities of TCOM, I would disclose its artificial intelligence technology.
- Notice that the company usually forecasts traffic, civil aviation, tourism, and many other variables in order to offer a good price.
- I expect sales to grow from $23 billion in 2021 to $77 billion in 2026. At the same time, FCF would grow from $408 million in 2020 to close to $2.3 billion in 2026.
- I assumed conservative figures like a discount of 5.5% and FCF/Sales margin of 2.99%-5%. Under my base case scenario, my implied target price is equal to $35, which represents close to a 25% upside potential in the company’s valuation.
For further details see:
The Current Valuation Of Trip.com Offers A 25% Upside Potential