Ctrip.com (CTRP) Stock Jumps on Earnings Beat

Ctrip.com (CTRP) stock is soaring in midday trading on Thursday, after the travel service provider reported better-than-expected 2015 third quarter earnings results.
By Amanda Albright ,

NEW YORK (TheStreet) -- Ctrip.com International (CTRP) - Get Report stock is surging 19.30% to $113.42 on heavy trading volume on Thursday, after the company's 2015 third quarter earnings results beat analysts' expectations.

After the market close on Wednesday, the Chinese travel service provider reported earnings of $2.20 per share. Revenue increased 49% year over year to $501 million. 

Analysts were expecting the company to report earnings of 9 cents per share on revenue of $490.64 million.

"Ctrip maintained strong momentum and delivered great results in the third quarter of 2015," CEO James Liang said in a statement. "Both hotel and air ticketing businesses reached 50% year-over-year growth in volume. Outbound travel continued to grow at triple digit in the core business segments due to the booming demand this quarter."

Additionally, Ctrip said it expects fourth quarter net revenue growth at a rate of 45% to 50% year-over-year.

So far today, 7.29 million shares of Ctrip have traded, versus its 30-day average of 3.93 million shares. 

TheStreet Ratings team rates CTRIP.COM INTL LTD as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

We rate CTRIP.COM INTL LTD (CTRP) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, feeble growth in the company's earnings per share and generally higher debt management risk.

You can view the full analysis from the report here: CTRP

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Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of Jim Cramer, TheStreet or any of its contributors.

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