Benchark Trimmed Target Price on Trip.com (TCOM) to $72

Trip.com Group Limited (NASDAQ:TCOM) is one of the 15 Most Undervalued NASDAQ Stocks to Buy According to Wall Street Analyst.

Benchmark, on February 26, reduced its target price on Trip.com by 12.2% to $72 (from $82) and retained the firm’s Buy recommendation on the stock. The price update comes on the heels of the release of Trip.com’s Q4 results on February 25. The report showed a “solid 4th quarter beat,” with diluted adjusted earnings per share growing 14% YoY and handily beating consensus estimates.

The earnings beat was driven primarily by higher transaction volumes, with the accommodation reservation and packaged tour segments (both up 20+%) leading the way.  The transportation ticketing and corporate travel segments, meanwhile, grew at a more modest pace in the low-to-mid teens. This volume growth translated into a 21% YoY increase in Q4 net revenue, also beating analyst expectations.

The report also showed in-line Q1 guidance, which the firm described as “arguably conservative.” The firm, based on its analysis, expects Trip.com’s revenue to grow 14% in 2026. However, margins will contract due to higher reinvestment needs. This lower projected margin ultimately led Benchmark to lower its target price.

Trip.com Group Limited (NASDAQ:TCOM) is a one-stop travel platform, operating through its portfolio of brands: Ctrip, Qunar, Trip.com, and Skyscanner. The company is based in Singapore and was founded in June 1999 by Jian Zhang Liang, Min Fan, Nan Peng Shen, and Qi Ji.

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