12 Best Young Stocks To Buy and Hold For 10 Years

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9. Atour Lifestyle Holdings Ltd. (NASDAQ:ATAT)

3-Year CAGR as of February 11: 47.41% 

Number of Hedge Fund Holders: 15

Atour Lifestyle Holdings Ltd. (NASDAQ:ATAT) develops lifestyle brands centered around hotel offerings in China. It provides hotel management services, sells hotel supplies and other products, and offers various other services. These include retail management, investment management, and software and technology services.

Its main source of revenue remains its hotels, especially the ones that operate under a franchise model. In Q3 2024, these franchised hotels generated RMB 1,179 million in revenue. That’s a huge jump of 51% year-over-year and a 14.8% increase sequentially. Atour Lifestyle Holdings Ltd. (NASDAQ:ATAT) is rapidly expanding its network of franchised hotels. The total number of these hotels has grown by 39.3% compared to a year-ago period, reaching 1,504. The company is also improving its RevPAR, which is the Revenue Per Available Room. This metric increased to RMB 376 in Q3, up from RMB 355 in Q2.

Atour Lifestyle Holdings Ltd. (NASDAQ:ATAT) is also focusing on different hotel brands, like Atour, Atour Light, and the newly launched SAVHE brand, in order to cater to different segments of the market. This diversification supports the growth of its hotel business.

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