Atour Lifestyle (NASDAQ:ATAT) Announces Quarterly Earnings Results, Misses Estimates By $0.08 EPS

Atour Lifestyle (NASDAQ:ATAT) released its quarterly earnings data on Tuesday. The company reported $0.48 EPS for the quarter, missing the consensus estimate of $0.56 by ($0.08), Zacks reports. The firm had revenue of $511.48 million for the quarter, compared to analysts’ expectations of $480.12 million. Atour Lifestyle had a return on equity of 55.00% and a net margin of 16.75%.

Here are the key takeaways from Atour Lifestyle’s conference call:

• Third-quarter net revenue rose 30.5% to CNY 3.4 billion, while adjusted net profit increased 26.2% to CNY 615 million.
• Adjusted net profit margin fell 0.7 percentage points to 17.9%, reflecting the faster-growing, lower-margin retail mix and continued investment in talent and organizational capabilities.
• Hotel RevPAR was 100.45% of the year-ago level. Atour opened 128 hotels in the quarter and maintained its full-year target of about 480 openings, alongside a target of about 80 closures.
• Retail revenue grew 51% to CNY 1.4 billion, and management raised its 2026 retail revenue growth outlook to 50%–55%, from 40% previously.
• The company reported CNY 2.7 billion in cash and cash equivalents and CNY 2.5 billion in net cash. It said dividends and share repurchases have delivered more than $260 million in shareholder returns so far this year, with a long-term target of about 100% of prior-year net income.

Atour Lifestyle Stock Performance

ATAT traded up $0.94 on Wednesday, hitting $36.99. The company had a trading volume of 596,872 shares, compared to its average volume of 1,048,703. The stock has a market capitalization of $5.09 billion, a price-to-earnings ratio of 18.22, a P/E/G ratio of 1.00 and a beta of 0.66. The stock has a fifty day moving average price of $33.04 and a 200-day moving average price of $34.98. Atour Lifestyle has a 12-month low of $30.07 and a 12-month high of $43.17.

Key Atour Lifestyle News

Investors following ATAT have been watching these news items:

• Positive Sentiment: Third-quarter revenue rose 30.5% year over year to RMB 3.43 billion (about $511.5 million), exceeding the roughly $480 million analyst estimate. Atour revenue climbs 30.5%
• Positive Sentiment: The board declared a cash dividend under the company’s existing annual dividend policy, adding a shareholder-return measure. Atour announces cash dividend
• Negative Sentiment: Atour’s FY 2026 revenue outlook of $1.9 billion is below analysts’ roughly $2.0 billion expectation, suggesting a softer near-term growth outlook than investors had anticipated.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on ATAT shares. Weiss Ratings upgraded Atour Lifestyle from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. Zacks Research lowered Atour Lifestyle from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, July 14th. HSBC started coverage on Atour Lifestyle in a research note on Wednesday, October 7th. They set a “buy” rating and a $39.70 price target on the stock. Finally, Wall Street Zen upgraded Atour Lifestyle from a “hold” rating to a “buy” rating in a report on Sunday, September 13th. Eight analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $46.62.

Atour Lifestyle Company Profile

Atour Lifestyle Holdings Limited is a China-based hospitality company that operates a network of hotels under brands including Atour, Atour S and Atour Light. Its hotels emphasize comfortable accommodations, service and design inspired by local culture. The company primarily expands through hotel management and franchise arrangements, working with property owners and operators rather than relying solely on hotels it owns. Its services include hotel operations, reservations and guest experiences.