Hong Kong · HKEX · 03690
Meituan (03690) stock analysis: valuation and financials
专业零售
HK$72.30 +0.7% Price as of Oct 13, 2026
Dominant local-commerce network with CNY79.6B net cash, but FY2025 growth slowed to 8.1% and subsidies drove a CNY23.4B net loss; at 1.0x sales no recovery is priced in.
- Market cap
- HK$446.5B
- P/E
- —
- EV/Sales
- 0.8x
- FCF yield
- -10.5%
- 52-week range
- HK$64.25 – HK$106.10
Research as of Oct 14, 2026
Business quality scorecard
- Growth37
- Profitability5
- Cash flow65
- Balance sheet64
- Capital allocation28
- Innovation66
- Valuation0
0–100, computed from reported financials; higher is better, and a higher valuation score means cheaper.
How it makes money
Consumers and merchants pay Meituan per-order delivery and transaction commissions plus merchant advertising across food delivery, in-store dining/hotel/travel and instant retail, and this commission-and-advertising core is the profit engine even though FY2025 revenue of 364.9B CNY carried an operating margin of -6.9% during heavy reinvestment.
Financials by year
| FY2021Jan–Dec 2021 | FY2022Jan–Dec 2022 | FY2023Jan–Dec 2023 | FY2024Jan–Dec 2024 | FY2025Jan–Dec 2025 | |
|---|---|---|---|---|---|
| Revenue | ¥179.1B | ¥220.0B | ¥276.7B | ¥337.6B | ¥364.9B |
| Revenue growth | +56.0% | +22.8% | +25.8% | +22.0% | +8.1% |
| Gross margin | 23.7% | 28.1% | 35.1% | 38.4% | 30.4% |
| Operating margin | -12.9% | -2.6% | 4.8% | 10.9% | -6.9% |
| Net income | -¥23.5B | -¥6.7B | ¥13.9B | ¥35.8B | -¥23.4B |
| Free cash flow | -¥13.0B | ¥5.6B | ¥34.0B | ¥46.1B | -¥27.2B |
| FCF margin | -7.3% | 2.5% | 12.3% | 13.7% | -7.5% |
Amounts in CNY · What is free cash flow?
Margins FY2025 gross margin 30.4% vs 38.4% (-8.0pp); operating margin -6.9% vs +10.9%. TTM gross margin 28.7%, operating margin -10.4%. Main cause: SG&A rose 53.8% to 114.9B against only 8.1% revenue growth. Q2 FY2026 gross margin rebounded to 33.5% from 28.5% in Q1 FY2026.
- Cash flow WatchOperating cash flow swung to -13.82B in FY2025 and -26.0B TTM, from +57.15B in FY2024; free cash flow -27.18B FY2025 and -40.35B TTM (FCF margin -7.5% and -10.5%). OCF still exceeds net income (-23.36B FY2025, -38.45B TTM), so the burn is cash-real rather than accrual-driven.
- Debt LowNet cash of 79.61B: total debt 88.7B TTM against cash of 104.7B, with debt/equity at 0.52. The company carries more cash than gross debt.
Balance sheet Leverage · Net cash
- Cash & short-term investments
- ¥168.3B
- Total debt
- ¥88.7B
- Net cash
- ¥79.6B
- Current ratio
- 1.9x
As of Jun 30, 2026 · Amounts in CNY · How to read a balance sheet
Management and track record
- Management AdequateExecution: revenue compounded 26.0% over five years, but FY2025 growth slowed to 8.1% with a RMB23.4B net loss, ROIC of -30.7% and free cash flow of -RMB27.2B.
Valuation range
Implied value per share · Price when researched: HK$72.30
Each scenario assumes five years of revenue growth, an FCF margin and an exit multiple, discounted to today. The assumptions and sensitivities are in the full report.
The full report also covers
- Revenue, growth and outlook of each segment
- Moat and main competitors
- Key risks
- Capital allocation: where the free cash flow went
- What management promised, and what they delivered
- Scenario assumptions and sensitivities
- A source for every claim
- Ask AI about this company
The full report is for members.