Trip.com Shares Drop Despite Strong Q4 Earnings and Record Travel Demand: Details
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 25 2025
0mins
Should l Buy TCOM?
Source: Benzinga
Financial Performance: Trip.com Group Limited reported a fourth-quarter adjusted EPS of $0.60, exceeding estimates, with net revenue increasing 23% year-over-year to RMB12.7 billion ($1.75 billion), driven by strong travel demand and higher accommodation bookings.
Market Reaction and Future Plans: Despite positive earnings, TCOM shares fell 8.10% premarket due to broader market concerns; the company announced a $400 million share repurchase program and a $200 million cash dividend for 2024, reflecting confidence in continued growth and investment in innovation.
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Analyst Views on TCOM
Wall Street analysts forecast TCOM stock price to rise
7 Analyst Rating
7 Buy
0 Hold
0 Sell
Strong Buy
Current: 55.010
Low
82.00
Averages
85.00
High
90.00
Current: 55.010
Low
82.00
Averages
85.00
High
90.00
About TCOM
Trip.com Group Limited is a global travel service provider comprising Trip.com, Ctrip, Skyscanner and Qunar. Its one-stop travel platform connects its users and its ecosystem partners. It offers accommodation reservations, transportation ticketing, packaged tours, and corporate travel management services and other travel-related services to meet the various booking and traveling needs of both leisure and business travelers through its travel platform. It helps travelers around the world make informed and cost-effective bookings for travel products and services and enables partners to connect their offerings with users through the aggregation of comprehensive travel-related content and resources and an advanced transaction platform, including apps, websites and 24/7 customer service centers. Ctrip provides travel and related services in China. Qunar is an online travel agency in China. Trip.com is an online travel agency for global travelers. Skyscanner is a travel search company.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Lawsuit Background: Trip.com Group is facing a securities class action lawsuit for allegedly violating China's Anti-Monopoly Law, representing investors who purchased securities between April 30, 2024, and January 13, 2026, highlighting serious concerns about the company's compliance and transparency.
- Market Reaction: On January 14, 2026, Trip.com's American Depositary Shares plummeted by 17%, erasing over $8 billion in market capitalization, reflecting investors' panic and a sharp decline in confidence regarding the company's regulatory risks.
- Regulatory Investigation: The company confirmed it received a notice of investigation from the State Administration for Market Regulations, indicating that its AI pricing adjustment tool may be viewed as an unfair competitive practice, further intensifying doubts about the sustainability of its business model.
- Executive Changes: Shortly after the class action was filed, Trip.com's co-founders abruptly resigned from the board, and the company announced plans to shut down its automated hotel AI pricing tool on March 10, 2026, demonstrating the urgency in addressing regulatory pressures and restoring market trust.
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- Legal Investigation: Faruq & Faruqi LLP is investigating potential securities litigation against Trip.com, specifically targeting investors who purchased or acquired securities between April 30, 2024, and January 13, 2026, to assess possible legal claims.
- Investor Contact Information: Securities Litigation Partner Josh Wilson encourages affected investors to reach out directly, providing contact numbers 877-247-4292 and 212-983-9330 (Ext. 1310) to discuss their legal rights and options.
- Class Action Deadline: The firm reminds investors that the deadline to seek the role of lead plaintiff in the federal securities class action filed against Trip.com is May 11, 2026, making this date critical for potential claims.
- Company Background: Trip.com Group Limited (NASDAQ: TCOM) is a prominent online travel service platform, and the legal actions could significantly impact its stock price and market reputation, especially in light of the ongoing class action lawsuit.
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- Class Action Notice: Rosen Law Firm reminds investors who purchased Trip.com (NASDAQ:TCOM) securities between April 30, 2024, and January 13, 2026, that they must apply to be lead plaintiff by May 11, 2026, to participate in the class action and potentially receive compensation.
- Fee Arrangement: Participants can obtain compensation without any out-of-pocket fees or costs through a contingency fee arrangement, which reduces the financial burden on investors and encourages more affected parties to join the lawsuit.
- Law Firm Advantages: Rosen Law Firm specializes in securities class actions and has achieved the largest settlement against a Chinese company, demonstrating its expertise and success rate in this field, which investors should consider when selecting legal counsel.
- Case Background: The lawsuit alleges that Trip.com made false and misleading statements during the class period and failed to disclose regulatory risks associated with its monopolistic business practices, resulting in investor losses when the truth emerged, highlighting the importance of transparency and compliance.
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- Class Action Reminder: The Schall Law Firm reminds investors of a class action lawsuit against Trip.com Group for violations of §§10(b) and 20(a) of the Securities Exchange Act, concerning securities purchased between April 30, 2024, and January 13, 2026.
- False Statement Allegations: The complaint alleges that Trip.com made false and misleading statements throughout the class period, particularly downplaying regulatory risks associated with its monopolistic practices, resulting in investor losses when the truth emerged.
- Investor Rights Protection: The Schall Law Firm encourages affected investors to contact them before May 11, 2026, to participate in the lawsuit and seek compensation for their losses, demonstrating a commitment to protecting investor rights.
- Lawsuit Status Explanation: The class action has not yet been certified, meaning investors are not represented by an attorney until certification occurs, highlighting the importance of participating in the lawsuit to ensure their rights are protected.
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- Class Action Initiated: A securities class action lawsuit has been filed against Trip.com Group (NASDAQ: TCOM), representing investors who purchased securities between April 30, 2024, and January 13, 2026, highlighting investor concerns over regulatory risks.
- Stock Price Impact: On January 14, 2026, Trip.com’s American Depositary Shares plummeted by $12.90 (-17%), resulting in a loss of over $8 billion in market capitalization in a single day, indicating a severe market reaction to the ongoing antitrust investigation.
- Regulatory Investigation Context: The company is under scrutiny for alleged violations of China’s Anti-Monopoly Law, with investors questioning the transparency of its pricing adjustment tool and its failure to adequately disclose potential regulatory risks.
- Executive Changes and Strategic Shift: Following the lawsuit, Trip.com’s co-founders abruptly resigned from the board on February 25, 2026, and the company announced plans to shut down its automated hotel pricing tool on March 10, aiming to restore pricing autonomy for hotel partners, reflecting a strategic pivot under market pressure.
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- Class Action Filed: Bronstein, Gewirtz & Grossman, LLC has announced a class action lawsuit against Trip.com Group, seeking damages for investors who purchased securities between April 30, 2024, and January 13, 2026, highlighting concerns over the company's regulatory risks.
- Allegations of Misrepresentation: The complaint alleges that Trip.com's executives failed to disclose regulatory risks stemming from monopolistic practices, rendering their statements about the company's business and prospects materially false and misleading throughout the class period.
- Investor Participation Encouraged: Affected investors are urged to apply to be lead plaintiffs by May 11, 2026, to potentially share in any recovery, reflecting the legal team's commitment to safeguarding investor rights and interests.
- Law Firm Credentials: Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm specializing in securities fraud class actions, having recovered hundreds of millions for investors, underscoring its influence and expertise in the field.
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