China's biggest food delivery platform is seeing a trend: more spending on experiences. "More and more consumers are willing to allocate a larger portion of their budget to travel," Wang Xing, CEO of Hong Kong-listed Meituan , said Thursday during a first-quarter earnings call, according to a FactSet transcript. "Their demand is not only growing, also probably more diverse, which brings substantial opportunity for us," he said.
analysts on Friday raised their price target on the stock by 5 Hong Kong dollars to 170 Hong Kong dollars after an improved earnings outlook across all of Meituan's segments. Mimicking U.S. The tourism industry's growth, despite a more sluggish macro backdrop in China, is similar to what happened in the U.S. after the pandemic. American consumers have kept spending on experiences, including concerts and cruises .