Atour Lifestyle (NASDAQ:ATAT) Hits New 1-Year High on Analyst Upgrade

Key Points

• Atour Lifestyle's stock reached a new 52-week high of $39.93 following an upgrade from a hold to a buy rating by Wall Street Zen.
• Citigroup also reaffirmed a buy rating on the stock, raising its price target from $36.50 to $38.00, contributing to a strong consensus rating of "Buy" among analysts.
• The company recently reported quarterly earnings that surpassed estimates, posting $0.42 EPS against an expected $0.41, along with a robust revenue of $344.49 million.

Atour Lifestyle Holdings Limited Sponsored ADR (NASDAQ:ATAT - Get Free Report)'s stock price reached a new 52-week high on Monday after Wall Street Zen upgraded the stock from a hold rating to a buy rating. The company traded as high as $39.93 and last traded at $39.84, with a volume of 545475 shares changing hands. The stock had previously closed at $39.04.

Separately, Citigroup reissued a "buy" rating and issued a $38.00 price target (up from $36.50) on shares of Atour Lifestyle in a report on Friday, May 23rd. Four investment analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Atour Lifestyle currently has a consensus rating of "Buy" and a consensus price target of $36.63.

Hedge Funds Weigh In On Atour Lifestyle

A number of hedge funds have recently modified their holdings of ATAT. Squarepoint Ops LLC boosted its stake in Atour Lifestyle by 3.8% during the 2nd quarter. Squarepoint Ops LLC now owns 29,458 shares of the company's stock valued at $958,000 after purchasing an additional 1,073 shares during the period. Nomura Holdings Inc. bought a new position in shares of Atour Lifestyle in the 2nd quarter worth $5,945,000. Hollencrest Capital Management acquired a new position in shares of Atour Lifestyle in the 2nd quarter valued at $29,000. Lazard Asset Management LLC lifted its holdings in Atour Lifestyle by 2.5% during the second quarter. Lazard Asset Management LLC now owns 243,921 shares of the company's stock worth $7,929,000 after acquiring an additional 5,956 shares in the last quarter. Finally, BI Asset Management Fondsmaeglerselskab A S lifted its position in Atour Lifestyle by 35.2% during the 2nd quarter. BI Asset Management Fondsmaeglerselskab A S now owns 58,120 shares of the company's stock worth $1,889,000 after buying an additional 15,127 shares in the last quarter. 17.79% of the stock is currently owned by institutional investors and hedge funds.

Atour Lifestyle Stock Up 1.9%

The stock has a market cap of $5.50 billion, a P/E ratio of 28.86, a price-to-earnings-growth ratio of 1.31 and a beta of 0.82. The firm has a 50 day simple moving average of $35.57 and a 200-day simple moving average of $31.13.

Atour Lifestyle (NASDAQ:ATAT - Get Free Report) last released its quarterly earnings results on Tuesday, August 26th. The company reported $0.42 EPS for the quarter, beating analysts' consensus estimates of $0.41 by $0.01. The firm had revenue of $344.49 million for the quarter, compared to analyst estimates of $326.00 million. Atour Lifestyle had a return on equity of 45.66% and a net margin of 16.52%. Atour Lifestyle has set its FY 2025 guidance at EPS. On average, equities analysts anticipate that Atour Lifestyle Holdings Limited Sponsored ADR will post 1.24 earnings per share for the current year.

Atour Lifestyle announced that its Board of Directors has authorized a stock repurchase plan on Thursday, May 22nd that authorizes the company to buyback $0.00 in shares. This buyback authorization authorizes the company to purchase shares of its stock through open market purchases. Stock buyback plans are often a sign that the company's board of directors believes its stock is undervalued.

About Atour Lifestyle

Atour Lifestyle Holdings Limited, through its subsidiaries, develops lifestyle brands around hotel offerings in the People's Republic of China. The company provides hotel management services, including day-to-day management services of the hotels for the franchisees; and sells hotel supplies and other products.

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