Qunar Cayman Islands Ltd
Can Ctrip Remain Profitable in 2016 and Beyond?
The online travel market’s margins are expected to improve now that pricing stability has returned to the industry.
What’s Priced into Qunar’s Valuation?
Qunar (QUNR) is currently trading at a forward EV-to-sales multiple of 5.9x, which is lower than its average valuation of 8.5x since November 2013.
Qunar Is Going Private: How Does It Affect Investors?
In June 2016, Qunar (QUNR) received an initial proposal from private equity firm Ocean Management.
Have Heavy Investments Led to High Debt for Qunar?
Qunar (QUNR) has been investing heavily in order to drive business growth. However, this has resulted in operating losses.
Why Isn’t Qunar Profitable Yet?
Analysts are estimating that Qunar Cayman Islands (QUNR) will incur an EBITDA loss of $17 million in 3Q16 and $3 million in 4Q16.
Can Qunar Achieve Revenue Growth in 2016?
For 3Q16, analysts are estimating Qunar’s (QUNR) revenue will fall 3% to $201 million.
What Do Qunar’s Key Metrics Suggest about Future Growth Potential?
Unlike other online travel industry majors like Priceline (PCLN), Expedia (EXPE), and Ctrip (CTRP), Qunar Cayman Islands (QUNR) earns the highest revenue from flight reservations.
What Are Analysts’ Recommendations for Qunar Stock?
For 2016, analysts estimate Qunar’s sales will grow 9% to ~$6.9 billion compared to a 131% growth in 2015.
Qunar Stock Continues Losing Value in November
Qunar stock has lost 31.9% year-to-date (or YTD). The stock has seen a significant downtrend in 2016 after a rise in 4Q15 due to a majority stake acquisition by Ctrip.com (CTRP).
What Ctrip.com’s Increasing Leverage Means for Investors
As discussed in the previous articles, Ctrip.com has tried to consolidate the Chinese online travel industry by acquiring majority stakes in its rivals.
These Segments Will Contribute the Most to Ctrip’s Future Growth
At 39% in 2Q16, hotels formed a significant part of Ctrip’s revenue, much like other OTA (online travel agency) players.
Why Westpac MNI China Consumer Sentiment Ticked Down in July
The Westpac MNI China CSI fell by 1.6% to 114. 0 in July from 115.9 in June as consumers were worried about their personal incomes due to weakness in the labor market.
China’s Prices Indexes Weaken in June: Here’s Why
In June, China’s CPI edged down to 1.9% year-over-year (or YoY) from the 2.0% rise recorded the previous month.
Why Westpac MNI China’s Consumer Sentiment Picked Up
The Westpac MNI China CSI rose 1.5% to 115.9 in June from 114.2 in May, which shows that increased policy support continues to trickle through to the real economy.
How Did China’s CPI and PPI Move in May?
In May, China’s CPI (or consumer price index) rose 2.0% year-over-year (or YoY), which was lower than the 2.3% rise recorded in the previous month.
What Caused Westpac MNI Consumer Sentiment to Fall?
The Westpac MNI China CSI fell 3.1% to 114.2 in May from 117.8 in April. All of the components of the headline indicator contributed to the fall.
Did China’s Consumer and Producer Prices Rise in April?
In April, China’s food prices rose 7.4% YoY (year-over-year), while nonfood prices edged up 1.1%. Pork prices rose sharply by 33.5% YoY and accounted for 0.8% of CPI (consumer price index) growth.
Why Westpac MNI China Consumer Sentiment Eased after Sharp Rise
The Westpac MNI China Consumer Sentiment Indicator fell 0.3% to 117.8 in April after rising sharply in March.
Will China’s Booming Travel Industry Help Qunar’s Revenues?
For 4Q15, Qunar’s (QUNR) revenues grew to $200 million, a 149% YoY growth compared to 4Q14 revenues of $174 million. Quarter-over-quarter, revenues were almost flat.
Why China’s CPI Data Were Stronger in February
In February, China’s CPI (consumer price index) rose 2.5% YoY—the largest rise since July 2014. It was also higher than the 1.8% YoY rise in January.
How Will Qunar Benefit from the Ctrip.com Partnership?
After a number of failed attempts and unsuccessful talks, Chinese online travel companies Ctrip.com (CTRP) and Qunar Cayman Islands (QUNR) have reached a partnership agreement.
What Do Key Metrics of Qunar Suggest About Its Future Growth Potential?
Qunar Cayman Islands (QUNR) earns the highest revenue from flight reservations compared to other online travel industry majors such as Priceline (PCLN), Expedia (EXPE), and Ctrip.com (CTRP).
Analysts’ Mixed Recommendations for Qunar Cayman Islands
Qunar Cayman Islands (QUNR) is expected to report its fiscal 4Q15 earnings on March 21, 2016. Of the 12 analysts tracking Qunar, six analysts have a “buy” recommendation on the stock.
Westpac MNI Consumer Sentiment Hit Its Lowest since October 2015
The Westpac MNI China CSI fell 3.1% to 111.3 in February from 114.9 in January as household finances and the outlook for spending deteriorated.
Why Is Ctrip Investing in Rival Online Travel Agency Companies?
Ctrip.com (CTRP) has been busy trying to consolidate the Chinese online travel agency (or OTA) market by buying stakes in its potential and existing rivals.
What Does Ctrip.com’s Increasing Leverage Mean for Investors?
Heavy reinvestments in its business have increased CTRP’s debt burden. As a result, CTRP’s leverage ratios have also increased.
China’s PPI Data Continue to Point to a Deflationary Environment
In December, China’s producer price index (or PPI) for manufactured goods fell 5.9% YoY, as manufacturers resorted to price-cutting due to weak demand.
FHKAX Fell Due to the Chinese Economic Slowdown
For the month ending on November 30, 2015, FHKAX fell by 2.0%. The Chinese economy experienced a slowdown due to sluggish global and local demand.
Analyzing Ctrip’s Valuation through 3 Key Multiples
We’ll wrap up this series by discussing what companies you can compare to Ctrip and what multiples you can use to value Ctrip.
Gauging Chinese Tourism’s Important Role in Ctrip’s Growth
Despite a slowing economy, the Chinese tourism sector seems to be blooming, recording growth in both demand and supply.
What Should You Expect from the Ctrip-Qunar Deal?
After a number of failed attempts and unsuccessful talks, Chinese online travel companies Ctrip International (CTRP) and Qunar Cayman Islands (QUNR) have reached an agreement.
Ctrip.com’s Different Approach Sets It Apart
Ctrip.com International is a leading online travel service provider in the Chinese mainland. Since its inception in 1999, the company has grown to become one of the best-known travel brands.
China’s PPI Data Indicate Continued Deflationary Pressure
In October, China’s PPI for manufactured goods fell 5.9% YoY as manufacturers resorted to price-cutting due to weak demand.
Thai Baht Rose Due to Strong Economic Growth
The Thai baht appreciated against the US dollar on November 16. Economic growth showed signs of a turnaround. The GDP rose at the fastest quarterly pace this year.
Valuation: Priceline Versus Its Peers
As of November 6, 2015, Priceline’s forward PE ratio stood at 21.8x, and its average valuation stands at 20x.
What Do China’s CPI, PPI, and Debt Data Indicate?
China’s consumer price index (or CPI) rose to 1.6% year-over-year in September, mainly due to higher food prices and not improvement in economic activity.
Analyzing China’s Leverage and Deleveraging Process
“Leverage” means borrowing funds for investment purposes. It creates short-term and long-term debt cycles. Short-term debt cycles typically last for 5–8 years.
Westpac MNI Consumer Sentiment Indicator for China Up in September
The Westpac MNI China Consumer Sentiment Indicator rose 1.5% to 118.2 in September—the highest level since May 2014—from 116.5 in August.
The Thai Baht Falls to a 6-Year Low against the US Dollar
The Thai baht weakened against the US dollar for the third continuous session on August 17, 2015, on lower-than-expected gross domestic data or GDP for the second quarter.
Analyzing Risk-Adjusted Returns of Four China-Focused Mutual Funds
Risk-adjusted returns is a concept that can be used to determine how much return an investment can provide with the given level of risk associated with it.
Why Orbitz’s international strategy focuses on expansion in China
Orbitz said in its annual filing that it’s focusing on expanding its international presence through both product innovation and new market expansion.
Why is Expedia focusing on growth in international markets?
Expedia has been investing to expand its international footprint, as growth in its core U.S. market has slowed down.
Expedia’s trivago acquisition raises advertising revenue growth
Officially launched in 2005, Expedia’s trivago is a known travel brand in Europe and continues to operate independently, and grow revenue via global expansion.
Online travel giant Expedia’s must-know overview for investors
Expedia’s recent quarterly earnings beat Wall Street estimates, and it posted fiscal 2013 adjusted earnings of $3.22 per share on revenues of $4.8 billion.