Newport Asia LLC Sells 12,946 Shares of Atour Lifestyle Holdings Limited Sponsored ADR (NASDAQ:ATAT)

Key Points

• Newport Asia LLC reduced its stake in Atour Lifestyle Holdings by 19.6% during the first quarter, now holding 53,010 shares valued at approximately $1.5 million.
• Atour Lifestyle recently announced a dividend increase, raising its annual dividend from $0.40 to $0.42 per share, yielding 1.3% with a payout ratio of 30.95%.
• The company has initiated a stock buyback plan, signaling management’s belief that the stock is undervalued.

Newport Asia LLC lowered its stake in shares of Atour Lifestyle Holdings Limited Sponsored ADR (NASDAQ:ATAT - Free Report) by 19.6% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 53,010 shares of the company's stock after selling 12,946 shares during the quarter. Atour Lifestyle makes up approximately 100.0% of Newport Asia LLC's holdings, making the stock its largest position. Newport Asia LLC's holdings in Atour Lifestyle were worth $1,503,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Pictet Asset Management Holding SA acquired a new position in Atour Lifestyle during the 4th quarter worth $155,000. AdvisorShares Investments LLC acquired a new position in Atour Lifestyle during the 4th quarter worth $188,000. Robeco Institutional Asset Management B.V. acquired a new position in Atour Lifestyle during the 1st quarter worth $209,000. Pinnacle Associates Ltd. acquired a new position in Atour Lifestyle during the 1st quarter worth $213,000. Finally, Bank of New York Mellon Corp acquired a new position in Atour Lifestyle during the 1st quarter worth $215,000. Institutional investors and hedge funds own 17.79% of the company's stock.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on ATAT shares. Citigroup reiterated a "buy" rating and set a $38.00 price target (up previously from $36.50) on shares of Atour Lifestyle in a research report on Friday, May 23rd. Wall Street Zen lowered Atour Lifestyle from a "buy" rating to a "hold" rating in a research report on Saturday, July 12th. One investment analyst has rated the stock with a hold rating and four have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $36.63.

Atour Lifestyle Price Performance

Shares of Atour Lifestyle stock traded down $0.51 during trading on Tuesday, hitting $34.99. The stock had a trading volume of 194,228 shares, compared to its average volume of 1,332,631. The firm has a market cap of $4.84 billion, a P/E ratio of 27.77, a PEG ratio of 1.02 and a beta of 0.82. The business has a fifty day moving average of $33.06 and a two-hundred day moving average of $29.49. Atour Lifestyle Holdings Limited Sponsored ADR has a fifty-two week low of $15.22 and a fifty-two week high of $37.46.

Atour Lifestyle Increases Dividend

The business also recently announced an annual dividend, which was paid on Wednesday, June 18th. Stockholders of record on Monday, June 2nd were given a dividend of $0.42 per share. The ex-dividend date was Monday, June 2nd. This is a positive change from Atour Lifestyle's previous annual dividend of $0.40. This represents a dividend yield of 1.3%. Atour Lifestyle's payout ratio is 30.95%.

Atour Lifestyle announced that its Board of Directors has initiated a share repurchase program on Thursday, May 22nd that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Shares buyback programs are typically a sign that the company's leadership believes its shares are undervalued.

Atour Lifestyle Profile

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.