Shares of Trip.com Group (09961.HK), China’s largest online travel platform, surged by up to 7.7% on July 27, reaching HKD 368.80—its highest since June 17. The surge came despite the resolution of a high-profile anti-monopoly investigation. The share price later remained strong at HKD 361, showing a 5.37% gain.
The rally followed Trip.com’s announcement that it had received an administrative penalty decision from China’s State Administration for Market Regulation (SAMR). SAMR found Trip.com had violated Article 22(4) and (5) of the Anti-Monopoly Law by abusing its dominant position in the online hotel-booking market. Offenses included imposing exclusive and unreasonable trading terms on hotel operators without justifiable cause.
The resurgence in share price could be due to the market having already priced in the news since January this year that sent its share price dropping more than 20% in a single day when the initial report was announced. The share price of Trip.com plunged nearly 40% so far this year, dropping from its high of RMB 613 on January 13, 2026, a few days before its downfall.
As per the penalty, Trip.com must:
- Fully refund RMB 122 million in security deposits taken from hotel operators.
- Forfeit RMB 1.658 billion in gains accrued from the violations.
- Pay a fine of RMB 3.521 billion, equivalent to 7.5% of its China-generated 2025 revenue.
The total financial impact exceeds RMB 5.3 billion (about $782 million).
Trip.com expressed acceptance of the decision, pledging to implement corrective action and enhance compliance and industry governance to support long-term sustainability.
Market analysts viewed the penalty outcome as positive. Jefferies and Citi both maintained “buy” ratings, citing the penalty amount as less severe than anticipated and the conclusion of the six-month probe as a relief that lifts the overhang on shares.
According to LSEG consensus, 23 analysts rate the stock a buy, 2 as hold, and none as sell, with a consensus target price of HKD 525.54. However, year-to-date, Trip.com shares remain down 35.3%, while the Hang Seng Tech Index has fallen 15.3%.
Meanwhile, the Depositary Receipt of Trip.com in the Thai stock exchange also surged in the same trend as the parent company. TRIPCOM23 issued by InnovestX Securities rose 4.08% to THB 1.53 and TRIPCOM80 issued by KTB gained 4.76% to THB 1.54 per share.
