Shares of China’s leading food delivery platform Meituan (3690.HK) fell 3.4% to HK$99.05 on Monday, marking their biggest single-day percentage decline since October 17 and touching the lowest level since November 25.

The stock slid after the company reported an adjusted net loss of 16 billion yuan ($2.26 billion) for the quarter ended September 30, marking its first quarterly loss since December 2022. Meituan also warned that it could face further losses in the upcoming quarter as a fierce price war with competitors Alibaba and JD.com continues to pressure margins.

Analysts at Jefferies retained a “Buy” rating on the stock but cut their price target to HK$130 from HK$139, noting that food delivery losses likely peaked in the third quarter. Jefferies also highlighted that Meituan’s new initiatives, including overseas expansion, may increase losses in the fourth quarter, although these are expected to normalize in 2026.

Year-to-date, Meituan shares have fallen 32.4%, in contrast to the Hang Seng TECH Index, which has risen 26.3%.