Chinese food-delivery giant Meituan’s shares jumped more than 10% after ChEO Wang Xing unveiled better-than-expected financial results and detailed plans to address government concerns about its business practices.
Shares surged after the company’s first-quarter revenue more than doubled from the year-earlier period, and Xing said the company is working with regulators to make changes to its business. That has kept most analysts positive on the stock even as some have slashed price targets to account for new investments.
“Despite near-term overhang from regulatory headwinds, overall growth momentum across all three major business segments remains intact,” Citigroup analysts including Alicia Yap wrote in a note on Sunday, May 30.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
