Shares could go to $43 apiece by next March.
High-tech signage can provide a better return on investment, but higher licensing and franchising fees will eat into profits.
The budget hotel chain then lowers its guidance for rest of 2013.
Increasing occupancy rates helped the company sport a nice earnings surprise.
Home Inns and Hotels Management beats on profit and revenue, and then impresses on guidance.
The recent surge in the ADRs of Home Inns and Hotels Management could mean a post-earnings drop.
Home Inns and Hotels Management investors are worried about the budget hotel sector in the nation's slowing economy.
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The offering could become the second-biggest this year if underwriters exercise an option to buy more shares.
The Market Dispatches column has been discontinued. Here's where to find the latest stock and business news on MSN Money, and the latest from market writer Charley Blaine.
MONEY & POLITICS
Breaking up big banks is an untested solution to the too big to fail problem that attempts to isolate and dismantle large, troubled institutions while protecting the rest of the economy.
The IRS is struggling to combat identify thieves who file fraudulent tax returns in the names of older residents who don't need to file.