When do you buy stocks? At their peak, or when they have been beaten down and all the bad news has been factored in. No! there is no guarantee, you evaluate the upside verses the downside and make your decision and live with it. I like the ladder, could I be wrong? Sure I could.
Dude...I think this counters all your petty excuses to try to crash expedia...and these are from REAL analysts....just saying....if you don't do your research and have no idea what you are talking about....maybe you shouldn't invest or even talk on message boards (you look like a dope)
1) Jefferies & Co. analyst Naved Khan, who rates Expedia as a "Buy," said the company's profit decline comes after it has spent money on new technology -- an investment, he says, that will bear rewards in the long term. "While investments into Tech/S&M will hurt margins/profitability near term, we expect these to position the company for faster growth over the medium and long term," he wrote in a note to clients.
2) 3) 4) and 5) Expedia(EXPE_), the world's largest online travel agent (OTA) in terms of gross bookings, offers travel products and services. Of the 20 analysts covering the stock, 40% recommended buying, while the remaining advise holding. On an average, analysts polled by Bloomberg expect a 35.2% upside from current levels.
The company estimates its advertising and media business, including TripAdvisor Media Network, at $1 billion and its operating income before amortization (OIBA) to exceed 50%. Media business, which accounts for 12% of global revenue, is seen expanding in the upcoming months. Expedia estimates online advertising to grow by 10%, 11% and 15% in North America, Europe and Asia, respectively.
Meanwhile, online share consumer travel spending is seen expanding by 54%, 37% and 21% in North America, Europe and Asia, respectively. Based on a strong product portfolio, sizeable growth opportunities across different products and geographies, and a robust cash flow of $500 million or more annually, Jefferies believes that Expedia has a strong growth potential.
Beginning 2011, Expedia acquired Michigan-based Mobiata, a maker of mobile travel applications like FlightTrack, FareCompare and HotelPal. The same company is the architect of several iPhone travel apps. In a scenario where an increasing number of travelers are using smartphones and other portable devices for their travel needs, Expedia's competitive strategy will likely prove profitable in the future.
Benchmark Capital believes that the company's revenue margin is likely to experience modest expansion, supported by escalating average daily rate recovery and moderating airfare increases, as capacity veers to the right track. Further international expansion, mainly in Europe and the Asia-Pacific region, may push the company's total bookings to grow by 12% year-over-year, revenue by 15%, OIBA growth by 19% and earnings per share by $2 in 2011. Almost 40% of the company's revenue is generated from outside the U.S.