---
title: "Daiwa: Removal of Regulatory Overhang Positive for Market Sentiment, Maintains Buy Rating on TRIP.COM-S"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/294004107.md"
description: "Daiwa maintains a Buy rating on Trip.com despite a nearly RMB5.2 billion anti-monopoly fine, which exceeds provisions and poses downside risk to 2026 earnings. The broker views the removal of regulatory uncertainty as a positive sentiment catalyst, noting the stock has fallen 40% YTD. However, commission rates and market share in domestic accommodation may face pressure."
datetime: "2026-07-28T03:19:23.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/294004107.md)
  - [en](https://longbridge.com/en/news/294004107.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/294004107.md)
generator: "portal-rs"
---

# Daiwa: Removal of Regulatory Overhang Positive for Market Sentiment, Maintains Buy Rating on TRIP.COM-S

Daiwa said in a research report that the State Administration for Market Regulation announced on Saturday (25th) the results of its anti-monopoly investigation into TRIP.COM-S (09961.HK) -5.000 (-1.406%) Short selling $927.01M; Ratio 37.862% . The regulator ruled that the group's operations violated anti-monopoly regulations, imposing fines and confiscations totaling nearly RMB5.2 billion, while requiring the company to return RMB122 million in deposits previously withheld from hotel operators. This marks the largest anti-monopoly penalty since the 2021 regulatory crackdown on the tech sector, equivalent to about 7.5% of TRIP.COM-S (09961.HK) -5.000 (-1.406%) Short selling $927.01M; Ratio 37.862% 's estimated domestic revenue of approximately RMB47 billion in 2025.

Daiwa believes the RMB5.18 billion fine accounts for around 30% of its 2026 adjusted net profit forecast of RMB15.8 billion, exceeding the RMB2 billion provision already incorporated in its estimates, implying further downside risk to 2026 earnings. The broker also expects commission rates and market share in TRIP.COM-S (09961.HK) -5.000 (-1.406%) Short selling $927.01M; Ratio 37.862% 's domestic accommodation business to come under pressure.

However, Daiwa still believes the removal of the regulatory overhang will serve as a positive catalyst for market sentiment. TRIP.COM-S (09961.HK) -5.000 (-1.406%) Short selling $927.01M; Ratio 37.862% 's share price has already fallen about 40% YTD, and regulatory uncertainty has largely been removed. The broker maintained its Buy rating on the stock. (gc/da)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-27 16:25.)

### Related Stocks

- [TCOM.US](https://longbridge.com/en/quote/TCOM.US.md)
- [09961.HK](https://longbridge.com/en/quote/09961.HK.md)
- [8601.JP](https://longbridge.com/en/quote/8601.JP.md)
- [HTGD.SG](https://longbridge.com/en/quote/HTGD.SG.md)

## Related News & Research

- [Greenwoods Asset Management Hong Kong Ltd. Sells 2,592,281 Shares of Trip.com Group Limited Sponsored ADR $TCOM](https://longbridge.com/en/news/296640471.md)
- [Trip.com Hit With Fines After Anti-Monopoly Probe, But Spared A Major Overhaul](https://longbridge.com/en/news/294544596.md)
- [Multilaser books additional R$ 20 million provision on Casas Bahia receivables](https://longbridge.com/en/news/296286553.md)
- [InterContinental Hotels Discloses Share Sale by Human Resources Chief](https://longbridge.com/en/news/296233410.md)
- [Four Seasons Resort Sharm El Sheikh adds premier two-bedroom residential suite to accommodations lineup](https://longbridge.com/en/news/296230449.md)

---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**