|Day's Range||191.00 - 191.00|
2019 is almost coming to an end, and right now, the best time to travel just before the holidays, and if you want to make travel plans, you should consider the best places to visit in the U.S in November. November and generally the onset of the fall and winter seasons means that many places […]
Agoda, one of the world’s fastest growing digital travel platforms and headquartered in Singapore (Booking Holdings (BKNG)), announced today a suite of enhanced products and technology to help businesses trying to capitalize on the growing travel sector. Agoda has a network of over 2.5 million properties in over 200 countries and territories. Agoda’s enhanced API allows partners, from distributors to corporate travel agents, convenient and quick access to its inventory.
Wedgewood Partners, a St. Louis, Missouri-based investment firm, has released its 2019 Q3 investor letter – you can download a copy here. The investment firm reported mixed results for the quarter, with composite returns largely flat at 0.39% for the quarter. Meanwhile, the benchmark Russell 1000 Growth Index and the S&P 500 Index gained 1.49% and 1.87%, respectively. Wedgewood Partners wrote extensively […]
Online travel-agency stocks plunged Thursday after Expedia’s latest earnings report revealed a struggle to contend with changing search-engine dynamics as well as trouble with some of its brands.
The U.S. Supreme Court on Friday agreed to consider a bid by a federal agency to prevent the popular hotel reservation website Booking.com, a unit of Booking Holdings Inc, from trademarking the site's name, contending that it is too generic to deserve legal protection. The justices will hear an appeal by the U.S. Patent and Trademark Office of lower court decision allowing the trademark because by adding ".com" to the generic word "booking" it became eligible for a trademark. The online reservation service, based in Amsterdam, began using its name globally in 2006, and filed several trademark applications in 2011 and 2012.
After the close on Thursday, Disney Co. (NYSE: DIS) announced an EPS beat along with a slight sales miss. The issue, which has been in a trading range ($127.54 to $134.14) since Sept. 20, roared through the top of that range. In Thursday's session, Booking Holdings Inc (NASDAQ: BKNG) was punished for Expedia Group's (NASDAQ: EXPE) earnings miss, falling from $2,012.09 to $1,849.93.
Stocks of online travel and reservation sites took a dive on Thursday, but Booking Holdings avoided the worst of the pain. (BKNG) stock (ticker: BNKG) was up 4.9% to $1,940.10 in premarket trading on Friday—after reporting its results late on Thursday. The stock had fallen 8% during regular trading hours.
(Bloomberg) -- Google’s moves to cram the top of its search results with more and more advertising is hammering the online travel industry, one of the company’s biggest customers.Expedia Group Inc. fell the most in 14 years on Thursday and TripAdvisor Inc. dropped the most in two years after the companies reported dismal third-quarter results and laid the blame on Google. Booking Holdings Inc.’s shares dropped 8%, too, wiping out a combined market value of more than $13 billion from the three online travel agents.Google dominates the online search market, with at least three quarters of the market. People use the search engine to research trips, so for at least a decade online travel agents have refined their websites with trustworthy content and easy booking tools to show up high in Google results.This search engine optimization, or SEO, worked well until about five years ago. Around that time, Google began placing more ads on the top of search results, pushing down the free listings. The internet giant also built new travel search tools, which were mostly paid listings, too. This means online travel agents now must pay billions of dollars each year to Google to ensure they show up high in search results and get clicks from travel planners.The online travel industry has been concerned about Google’s changes since at least 2016. But the full impact was felt this week.“Google has got more aggressive,” TripAdvisor Chief Executive Officer Stephen Kaufer said during a conference call with analysts late Wednesday. “We’re not predicting that it’s going to turn around.”Free traffic is “shrinking all the time,” Expedia Chief Executive Officer Mark Okerstrom said the same day. “Google does continue to push for more revenue per visitor. And I think it’s just the reality of where the world is.”The industry has been trying other marketing channels, such as social media and more TV advertising. But Google’s search engine is so pervasive that online travel agents have to keep buying ads from the company to keep traffic coming to their sites.D.A. Davidson analysts wrote that Expedia is exploring alternatives to mitigate its “reliance on search/Google,” but they see “no alternatives that will be able to efficiently ‘move the needle’ from a volume perspective anytime soon.”Carnage in the online travel industry comes as antitrust scrutiny of Google is ramping up in the U.S. State, federal and congressional probes are all underway to determine whether the company violates competition law. One area of concern is vertical search, where Google uses its main search engine to promote its own industry-specific products over those of other companies. Travel is one example where this is happening, along with local search, contractor marketplaces like Angie’s List and shopping-comparison services.Google has been a rising risk for the travel industry for a while, but executives have been generally hesitant to blame it for poor results. The search giant is one of the most important sources of traffic and business for online travel agencies, so they have tried to maintain a good relationship. But this quarter, Google’s impact was so painful that industry executives and Wall Street analysts couldn’t avoid it.“We see these Google changes as a potential headwind to OTA profitability,” Morgan Stanley analyst Brian Nowak said in a note to clients. This trend isn’t going away, and people who want to invest in the online travel sector should do it through Google stock, he added.Booking Holdings, the largest online travel agent, was peppered with questions about Google during a conference call with analysts on Thursday.Glenn Fogel, Booking’s chief executive officer, said the company’s future success will rely on reaching people without Google getting in the way.“What we know is most important is for us to get customers to come to us directly,” he said. Building brand strength and retaining customers better means the company “will not be as dependent on other sources of traffic,” he added.\--With assistance from Ryan Vlastelica, Olivia Carville and Ian King.To contact the reporters on this story: Gerrit De Vynck in New York at firstname.lastname@example.org;Kiley Roache in New York at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Alistair Barr, Andrew PollackFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
A day after a brutal beatdown by investors of the online travel sector, Booking Holdings, Expedia and TripAdvisor are on the rise Friday.
We've heard the doubts for several years: Are online travel agencies' glory days, when revenue was growing 25 or 30 percent and room nights booked were jumping at similar clips, long-gone history? In contrast to Expedia Group and TripAdvisor, which posted weak third quarters and saw their market caps sliced up on Thursday, Booking Holdings […]
Online travel company Booking Holdings reported quarterly earnings that showed a slight miss on revenue but beat on earnings. The Booking earnings report came after the market close.
Booking Holdings Inc. shares bounced back from a tough day of trading with gains in after-hours action Thursday following an earnings report that beat expectations. The travel-website company formerly known as Priceline reported third-quarter profit of $1.95 billion, or $45.54 a share, on sales of $5.04 billion, up from $4.85 billion a year ago. After adjusting for debt and equity costs and other effects, Booking reported earnings of $45.36 a share, up from $37.78 a share a year ago. Analysts on average expected adjusted earnings of $44.50 a share on sales of $5.08 billion. Booking stock sank 8.1% to $1,849.93 in the regular session Thursday after disappointing results on Wednesday from rivals Expedia Inc. and TripAdvisor Inc. In the extended session following the release of the results, shares rose more than 4%.
In an unintended duet, the CEOs of TripAdvisor and Expedia Group separately talked this week about how Google's increasing practice of directing search traffic towards its own travel businesses has adversely impacted their companies in the third quarter. For its part, Expedia Group intends to push direct booking — it mentioned fledgling Instagram and Facebook […]
Investing.com - Booking (NASDAQ:BKNG) reported third quarter earnings that beat analysts' expectations on Thursday and revenue that fell short of forecasts.
Booking Holdings (NASDAQ: BKNG ) announces its next round of earnings November 7. Here is Benzinga's everything-that-matters guide for this Thursday's Q3 earnings announcement. Earnings and Revenue Based ...
At least two analysts downgraded shares of Expedia Group Inc. on Thursday following a downbeat earnings report from the online-travel giant. Piper Jaffray's Michael Olson foresees "multi-quarter challenges with greater dependence on higher cost marketing channels (vs. SEO), muted hotel ADR [average daily rate] environment, and uncertainty around Vrbo bouncing back from the brand change." He downgraded the stock to neutral from overweight and cut his price target to $124 from $160 in a note titled: "Could Be Long Delay Before Takeoff." D.A. Davidson's Tom White lowered his rating on Expedia to neutral from buy, writing that while the company is looking for additional channels that could help lessen its reliance on search engines like Alphabet Inc.'s , "we see no alternatives that will be able to efficiently 'move the needle' from a volume perspective anytime soon." He cut his price target to $130 from $162. Expedia shares are down 13.6% in premarket trading Thursday after the earnings report and are dragging down shares of Booking Holding Inc. , which is due to report results Thursday afternoon. Its stock is down 3.1% premarket. Expedia shares have gained 20% so far this year, while Booking shares have increased 17% and the S&P 500 has risen 23%.
At a time when headwinds from Google's business practices, lower hotel rooms rates, and a shift toward higher-cost marketing channels are negatively impacting Expedia Group's financial results, the online travel agency finds itself caught up in — and preoccupied with — an internal reorganization. "With many people focused on that effort, it did likely impact […]
(Bloomberg) -- Expedia Group Inc. showed a decline in revenue growth at its vacation rental business in the third quarter, signaling slowed momentum in the travel giant’s fastest-growing category and leading to a lowered profit forecast for the year.Bellevue, Washington-based Expedia’s short-term rental unit reported revenue growth of 14% in the three months ended Sept. 30, to $467 million. That’s less than the 17% pace in the previous period and missed analysts’ estimates for $462.4 million. Total revenue grew 8.6% to $3.56 billion, in line with analysts’ estimates. As a result of “disappointing results” in the quarter, Chief Executive Officer Mark Okerstrom lowered the company’s full-year outlook for adjusted earnings before interest, taxes, depreciation and amortization. The shares fell about 13% in extended trading.Expedia has been plowing resources into its home-sharing division, Vrbo, in a bid to challenge rivals Airbnb Inc. and Booking Holdings Inc. in the booming market for alternative accommodation. While Vrbo dominates the market in the U.S. for purely vacation-rentals, Airbnb and Booking capture a much larger share of the broader global $34 billion alternative accommodation market, which also includes non-traditional hotels and home sharing.“We continue to be happy with the trends we are seeing at Vrbo and we continue to see growth rates in double digits,” Okerstrom said on a conference call. Expedia expects “continued muted growth rates” at Vrbo while it builds out the brand, which now suffers low visibility compared with its competitors. “Once we get past some changes, we will be able to return to growth rates we’re more satisfied with,” he said.Earlier this year, Expedia changed the vacation-rental division name to Vrbo, a moniker more familiar to Americans than the previous HomeAway label, which is more well-known in Europe.Okerstrom said Expedia now sees 2019 adjusted Ebitda growth of 5% to 9%, down from a previous forecast for as much as 15% growth.Vrbo only pulls in just over 10% of Expedia’s overall revenue, but analysts and investors focus on the division because it represents the company’s best bet for growth.Gross bookings for the travel giant climbed 9% to $26.9 billion. Adjusted earnings before interest, tax, depreciation and amortization came in at $912 million, missing average analyst estimates of $973.3 million. Earnings per share were $3.38, excluding some items. Analysts, on average, estimated $3.77.(Updates with forecast in the sixth paragraph.)To contact the reporter on this story: Olivia Carville in New York at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Molly Schuetz, Andrew PollackFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
TripAdvisor and Trip.com Group, the China-based online travel agency formerly known as Ctrip, entered into a global joint venture. Under the terms of the deal, the two companies formed a global joint venture under the TripAdvisor brand in China, and there are also global content-licensing agreements where Trip.com Group brands, including Ctrip, Trip.com, Qunar, and […]
Overall, we are in an equity-friendly environment because the economy is growing, the consumer is strong, and the global central banks are on the market’s side.