Meituan's financial report judgment and analysis

My core judgment on Meituan is a firm long-term bullish view, with a cautious, phased accumulation strategy in the short term.

The core logic behind my bullish stance is not betting on a short-term earnings reversal, but rather recognizing its hard-to-replicate core moat: a nationwide same-city instant delivery network and the strong two-sided network effects between merchants and users. These are competitive advantages that rivals cannot shake in the short term. The key focus for 2026 is that after the industry subsidy war cools down, the company will shift from "burning cash for scale" to "scale for profit." The per-order profitability of food delivery turning positive, instant retail approaching breakeven, and new businesses significantly controlling losses will bring clear profit release and valuation recovery.

In terms of execution, I won't chase highs. I'll adopt a phased accumulation strategy, with the core anchors being the sustainability of food delivery's per-order profitability and the inflection point for adjusted net profit turning positive. On the risk side, I'll closely monitor whether industry competition intensifies again and whether overseas business spirals out of control with cash burn. In the long run, instant retail is a trillion-yuan track. As the absolute leader, Meituan, after its profit recovery, has ample room for valuation upside and is a core holding in the local services sector.$MEITUAN(03690.HK)