UPDATE: Deutsche Bank Initiates Hold On Valuation Grounds

In a report published Wednesday, Deutsche Bank analyst Alan Hellawell III initiated a Hold on Qunar

and set a price target of $22.10. In the report, Deutsche Bank says "Qunar is well underway in transforming itself from a travel search and travel comparison provider to a total solutions provider seeking to deliver the online travel industry to an era of direct connectivity between China's hotels and airlines, and their online end users. Nowhere is the opportunity greater, or the implementation risks higher, than in provisioning hotel rooms in the mobile environment. Despite our growing faith in its ability to address the burgeoning real-time mobile booking market, we initiate with Hold on valuation grounds." Qunar closed on Tuesday at $25.85.