H World Group Limited Reports First Quarter of 2025 Unaudited Financial Results
Financial Performance: H World Group Limited reported a 2.2% year-over-year revenue growth in Q1 2025, totaling RMB5.4 billion (approximately US$744 million), with significant increases in manachised and franchised operations, while the Legacy-DH segment faced declines. Net income rose to RMB894 million (US$123 million), reflecting a 35.7% increase from the previous year.
Operational Highlights: The company operated 11,685 hotels with over 1.14 million rooms as of March 31, 2025, and opened 694 new hotels in Q1 2025, despite facing challenges such as declining occupancy rates and average daily room rates across various segments. Looking ahead, H World anticipates revenue growth of 1%-5% for Q2 2025.
Trade with 70% Backtested Accuracy
Analyst Views on HTHT
About HTHT
About the author
Trip.com Under Anti-Monopoly Investigation, Controls Over 60% of China's Online Travel Market
- Investigation Launched: China's State Administration for Market Regulation has initiated an anti-monopoly investigation into Trip.com, focusing on its hotel booking operations, which accounted for 44% of its revenue in Q3, potentially forcing the company to end exclusivity agreements and divest rival investments.
- Market Share Concentration: Trip.com controls over 60% of China's online travel market through a series of acquisitions and investments, maintaining a strong market position despite challenges from Meituan and Alibaba.
- Stock Price Plunge: Following the announcement of the investigation, Trip.com's stock fell 22% over four trading days, wiping out approximately $9 billion in market value, although its share price remains up 54 times since its IPO, indicating investor anxiety about the future.
- Uncertain Future Outlook: The market regulator is expected to impose fines exceeding $1 billion on Trip.com, but the greater concern lies in potential divestitures of key investments, particularly in Tongcheng and Qunar, which could significantly impact its market dominance.
Chinese Stock Charts Hit a Critical Juncture: Key Factors to Monitor.
Investor Sentiment in January: January is often seen as a key month for investors to gauge institutional intent in the market.
China's Market Signal: The opening of the market in China this year has sent a significant signal to investors regarding future trends.
Yiheng Capital Exits Entire Put Option Position in Planet Fitness
- Exit of Option Position: Yiheng Capital fully exited its put option position in Planet Fitness, comprising 270,000 shares with an estimated trade value of $29,443,500 in Q3 2025, indicating a cautious approach to market volatility.
- Change in AUM: This transaction resulted in a 4.342% decrease in Yiheng Capital's 13F reportable assets under management, reflecting a strategic adjustment in its portfolio management.
- Market Reaction: Although Planet Fitness's stock price experienced a modest decline during Q3, it did not reach levels that would make the options profitable, making Yiheng's exit a prudent decision to avoid potential losses.
- Portfolio Diversification: Yiheng Capital held 27 positions in Q3, including four options, demonstrating its ongoing efforts in a diversified investment strategy.
Yiheng Capital Exits Planet Fitness Put Options, Trading Value Near $29.44 Million
- Options Exit: Yiheng Capital fully sold its 270,000 put options in Planet Fitness during Q3 2025, with a total trade value of approximately $29.44 million, indicating a cautious outlook on the stock's future performance.
- Asset Management Shift: This exit reduced Planet Fitness's position from 2.65% of the fund's AUM to zero, reflecting a strategic adjustment amid a broader 39% decline in total fund AUM.
- Market Performance: As of November 13, 2025, Planet Fitness shares were priced at $107.11, up 10.62% over the past year, outperforming the S&P 500 by 0.52 percentage points, showcasing its competitive strength in the fitness industry.
- Investment Strategy: Yiheng Capital's diversified portfolio indicates a conservative investment approach, as it retains various stocks across industries despite exiting its position in Planet Fitness options, suggesting a strategy to navigate market volatility.
Reasons to Consider H World Group (HTHT) as a Strong Momentum Stock: Is It Time to Buy?
Momentum Investing Overview: Momentum investing involves buying stocks that are trending upwards, with the expectation that they will continue to rise. The Zacks Momentum Style Score helps investors identify stocks with strong momentum indicators.
H World Group Performance: H World Group (HTHT) has a Momentum Style Score of B and a Zacks Rank of #2 (Buy), showing promising performance with a 25.7% increase over the past quarter and a 43.1% gain over the last year.
Earnings Estimates and Volume: HTHT has seen positive earnings estimate revisions, with two estimates moving higher recently. Additionally, the stock's average trading volume of 1,478,450 shares indicates strong market interest.
Investment Recommendation: Given its strong momentum indicators and positive earnings outlook, H World Group is recommended as a potential stock pick for investors looking for short-term gains.
Major Stocks Including Helmerich and Payne, Invivyd, and Home Depot Decline in Tuesday's Pre-Market Trading
U.S. Stock Futures: U.S. stock futures are down, with Dow futures dropping approximately 200 points on Tuesday morning.
Helmerich and Payne Inc: The company reported a fourth-quarter loss of 1 cent per share despite quarterly sales of $1.012 billion, leading to a 7% drop in its shares during pre-market trading.
Other Stocks Declining: Several other stocks, including Alpha Technology Group Ltd and Invivyd Inc, experienced significant declines in pre-market trading, with drops of 19% and 13.4%, respectively.
Home Depot's Performance: Home Depot's shares fell 2% after reporting worse-than-expected third-quarter adjusted EPS and lowering its FY25 adjusted EPS outlook.
Trip.com Under Anti-Monopoly Investigation, Controls Over 60% of China's Online Travel Market
- Investigation Launched: China's State Administration for Market Regulation has initiated an anti-monopoly investigation into Trip.com, focusing on its hotel booking operations, which accounted for 44% of its revenue in Q3, potentially forcing the company to end exclusivity agreements and divest rival investments.
- Market Share Concentration: Trip.com controls over 60% of China's online travel market through a series of acquisitions and investments, maintaining a strong market position despite challenges from Meituan and Alibaba.
- Stock Price Plunge: Following the announcement of the investigation, Trip.com's stock fell 22% over four trading days, wiping out approximately $9 billion in market value, although its share price remains up 54 times since its IPO, indicating investor anxiety about the future.
- Uncertain Future Outlook: The market regulator is expected to impose fines exceeding $1 billion on Trip.com, but the greater concern lies in potential divestitures of key investments, particularly in Tongcheng and Qunar, which could significantly impact its market dominance.
Chinese Stock Charts Hit a Critical Juncture: Key Factors to Monitor.
Investor Sentiment in January: January is often seen as a key month for investors to gauge institutional intent in the market.
China's Market Signal: The opening of the market in China this year has sent a significant signal to investors regarding future trends.
Yiheng Capital Exits Entire Put Option Position in Planet Fitness
- Exit of Option Position: Yiheng Capital fully exited its put option position in Planet Fitness, comprising 270,000 shares with an estimated trade value of $29,443,500 in Q3 2025, indicating a cautious approach to market volatility.
- Change in AUM: This transaction resulted in a 4.342% decrease in Yiheng Capital's 13F reportable assets under management, reflecting a strategic adjustment in its portfolio management.
- Market Reaction: Although Planet Fitness's stock price experienced a modest decline during Q3, it did not reach levels that would make the options profitable, making Yiheng's exit a prudent decision to avoid potential losses.
- Portfolio Diversification: Yiheng Capital held 27 positions in Q3, including four options, demonstrating its ongoing efforts in a diversified investment strategy.
Yiheng Capital Exits Planet Fitness Put Options, Trading Value Near $29.44 Million
- Options Exit: Yiheng Capital fully sold its 270,000 put options in Planet Fitness during Q3 2025, with a total trade value of approximately $29.44 million, indicating a cautious outlook on the stock's future performance.
- Asset Management Shift: This exit reduced Planet Fitness's position from 2.65% of the fund's AUM to zero, reflecting a strategic adjustment amid a broader 39% decline in total fund AUM.
- Market Performance: As of November 13, 2025, Planet Fitness shares were priced at $107.11, up 10.62% over the past year, outperforming the S&P 500 by 0.52 percentage points, showcasing its competitive strength in the fitness industry.
- Investment Strategy: Yiheng Capital's diversified portfolio indicates a conservative investment approach, as it retains various stocks across industries despite exiting its position in Planet Fitness options, suggesting a strategy to navigate market volatility.
Reasons to Consider H World Group (HTHT) as a Strong Momentum Stock: Is It Time to Buy?
Momentum Investing Overview: Momentum investing involves buying stocks that are trending upwards, with the expectation that they will continue to rise. The Zacks Momentum Style Score helps investors identify stocks with strong momentum indicators.
H World Group Performance: H World Group (HTHT) has a Momentum Style Score of B and a Zacks Rank of #2 (Buy), showing promising performance with a 25.7% increase over the past quarter and a 43.1% gain over the last year.
Earnings Estimates and Volume: HTHT has seen positive earnings estimate revisions, with two estimates moving higher recently. Additionally, the stock's average trading volume of 1,478,450 shares indicates strong market interest.
Investment Recommendation: Given its strong momentum indicators and positive earnings outlook, H World Group is recommended as a potential stock pick for investors looking for short-term gains.
Major Stocks Including Helmerich and Payne, Invivyd, and Home Depot Decline in Tuesday's Pre-Market Trading
U.S. Stock Futures: U.S. stock futures are down, with Dow futures dropping approximately 200 points on Tuesday morning.
Helmerich and Payne Inc: The company reported a fourth-quarter loss of 1 cent per share despite quarterly sales of $1.012 billion, leading to a 7% drop in its shares during pre-market trading.
Other Stocks Declining: Several other stocks, including Alpha Technology Group Ltd and Invivyd Inc, experienced significant declines in pre-market trading, with drops of 19% and 13.4%, respectively.
Home Depot's Performance: Home Depot's shares fell 2% after reporting worse-than-expected third-quarter adjusted EPS and lowering its FY25 adjusted EPS outlook.
