$TRIP.COM-S(09961.HK)
Will Trip.com Surge Once The Probe Ends 🤔?
Trip.com shares have taken a hit lately, weighed down by China’s ongoing SAMR antitrust investigation.
But history shows: even hefty fines often spark big rebounds once uncertainty clears. Here is what we learned from Alibaba and Meituan’s 2021 cases:
💡 3 Key Lessons From The Past
✅ Uncertainty hurts more than bad news
Stocks get punished hardest while probes are open. When Alibaba and Meituan were fined, both jumped 5–10% on day one and 10–20% within weeks. Putting a number on the penalty removes the “worst-case” fear.
✅ Immediate relief rally is likely
Short sellers will cover positions, and waiting institutional money will jump in and drive an initial jump once the decision is official.
✅ Long-term growth depends on rules and not fines
A fine is just a one off cost. What really matters: will regulators limit its core business (like capping hotel commissions or changing algorithms)?
📊 Full side-by-side comparison in the infographic above!
Put simply: The Chinese government doesn’t want Trip.com to crash and bankrupt. Chinese government needs trip.com to promote China. What do you think? Let’s discuss😁.
Not financial advice. Please do your own DD☺️
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