Goldman Sachs has issued a research report reiterating its "Buy" rating and HK$116 target price for Meituan-W (03690).
The firm's analysis indicates that management has observed an improving competitive landscape in the food delivery market and expresses confidence in achieving a long-term recovery in unit economics, ultimately targeting an EBIT of RMB 1 per order.
Goldman Sachs continues to project that the adjusted EBIT margin for the in-store, hotel, and travel segment will stabilize at 25% by 2026, with a long-term total transaction value margin target of 2% for the instant commerce business.
The maintained target price also factors in the view that the expansion of Meituan's Keeta business into markets such as the Middle East, Hong Kong China, and Brazil will serve as its next growth catalyst.
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