The stock of Trip.com Group Limited (HK:9961) rose 1.8% on the expectation of higher travel demand between China and Singapore in 2024, as the countries agreed to implement a 30-day mutual visa-free travel policy.
With this arrangement, the countries aim to reach the pre-pandemic level in terms of tourists and flights, while boosting travel and trade.
Trip.com Group is among the leading travel agencies in the world, providing services like hotels, air tickets, holiday packages, etc.
Trip.com Searches Rise After Visa-Free News
Following the visa-free news, the searches for the word “Singapore” on Trip.com experienced a jump of 80% within one hour yesterday. The search for other keywords related to tickets and hotels increased by 90% and 50%, respectively.
In November, Trip.com reported a 99% jump in its revenue for the third quarter of 2023 to $1.9 billion. This was mainly driven by solid growth in both domestic and international travel bookings.
For Trip.com, this visa-free travel news will further reinforce the positive sentiment, potentially contributing to a rebound in the company’s share price. The stock has declined around 12% in the last three months.
What is the Price Forecast for Trip.com?
As per the consensus among analysts on TipRanks, 9961 stock has been assigned a Moderate Buy rating based on one Buy recommendation from DBS analyst Tsz Wang. The trip.com share price target is HK$515, which implies a huge upside of 101% from the current price level.
