|Bid||69.93 x 800|
|Ask||100.00 x 900|
|Day's Range||89.81 - 90.41|
|52 Week Range||69.99 - 100.51|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.10|
|Expense Ratio (net)||0.35%|
Internet stocks and ETFs have had a stellar run in the 10-year old bull market. Will these maintain the winning momentum?
Expedia Stock: Highlights for InvestorsBullish recommendationsExpedia (EXPE) could be an intriguing choice for investors, according to analysts’ ratings. Analysts covering the stock expect a massive upside in the online travel agency’s share
Expedia Rose ~8% after Its Q4 Earnings Beat(Continued from Prior Part)Analysts’ bullish recommendationsExpedia (EXPE) could be an intriguing investment. Most analysts have turned bullish on the stock. Most analysts raised their target price
Expedia Is Likely to Post Double-Digit Earnings Growth in Q4Fourth-quarter expectationsExpedia Group (EXPE) plans to report its fourth-quarter 2018 earnings results on February 7. The online travel agency’s EPS have surpassed Wall Street’s
Goldman Upgrades Expedia’s Rating, Sees ~24% Upside in the Stock (Continued from Prior Part) ## Analysts’ expectations Wall Street analysts expect Expedia (EXPE) to continue benefiting from a healthy travel demand environment. The online travel agency’s three consecutive quarters of better-than-expected results have increased analysts’ confidence in its stock. Analysts expect Expedia’s fourth-quarter revenue to rise 9.7% YoY to $2.54 billion. By segment, its Core OTA sales are expected to grow 8.7% to $2.02 billion, its Egencia sales are expected to rise 9.8% to $150.5 million, and its HomeAway sales are expected to increase 29.4% to $249.7 million. However, analysts expect Trivago’s revenue to fall 8.4% to $197 million. For 2018, Expedia’s consolidated sales are expected to rise 11.4% YoY to $11.2 billion. Revenues in its Core OTA, Egencia, and HomeAway segments are expected to grow 14.2%, 14.5%, and 31.2%, respectively. Trivago’s sales are likely to fall 9.4% YoY. ## EBITDA estimates In the fourth quarter, Expedia’s adjusted EBITDA are expected to rise 5.1% YoY to $422.9 million. Its adjusted EBITDA margin is expected to contract 70 basis points to 16.7%. For 2018, analysts expect Expedia’s adjusted EBITDA to rise 11.8% YoY to $1.92 billion. The company’s management has also raised its full-year EBITDA growth guidance range to 10%–12% from the previous range of 7%–12%. For 2018, analysts expect the company’s EBITDA margin to expand ten basis points YoY to 17.1%. ## Earnings estimate Expedia’s non-GAAP (generally accepted accounting principles) EPS are expected to rise 28.6% YoY to $1.08 in the fourth quarter from $0.84 in the fourth quarter of 2017. For 2018, its non-GAAP EPS are expected to rise 31.2% YoY to $5.64. Booking Holdings (BKNG), TripAdvisor (TRIP), and Ctrip.com International (CTRP) are projected to report EPS rises of 16.6%, 67.6%, and 10.9% YoY, respectively, in 2018. Investors can gain exposure to Expedia via the SPDR S&P Internet ETF (XWEB), which has allocated ~2.5% of its funds in the stock. Browse this series on Market Realist: * Part 1 - Goldman Upgrades Expedia’s Rating, Sees ~24% Upside in the Stock * Part 2 - Expedia to Benefit from Rising Online Travel Demand * Part 3 - What’s Driving Wall Street’s Bullish Stance on Expedia Stock?
Goldman Upgrades Expedia’s Rating, Sees ~24% Upside in the Stock ## Goldman upgrades rating on Expedia Goldman Sachs (GS) analyst Heath Terry upgraded his rating on Expedia (EXPE) to “buy” from “neutral.” Terry also raised his one-year target price on Expedia to $140 from $125, which represents an upside of ~24% from last Friday’s closing price of $113.09. The analyst noted that the online travel agency is currently trading at a low valuation multiple, and given its growth potential, the stock is poised to gain significantly in 2019. In a note to clients, Terry wrote, “We believe we have seen evidence of this during recent periods where Expedia was able to drive bookings growth acceleration alongside leverage in ad spend,” CNBC reported. He added, “We also believe the stock’s relatively low trading multiple means it is likely to outperform in a tougher market environment for growth stocks.” Terry said that Expedia is poised to benefit from healthy travel demand and a tight supply environment. He also believes that TripAdvisor (TRIP) and Booking Holdings’ (BKNG) strategy of rationalizing ad spending puts Expedia in a better position. Additionally, Terry believes that consumer discretionary spending preferences are continuously shifting toward traveling, which should also benefit Expedia. ## Valuation multiple Currently, Expedia’s PE multiple stands at 20.90x. At its current multiple, the stock is trading at a premium valuation to its peers Booking Holdings and Ctrip.com International (CTRP) and at a discount to TripAdvisor. Booking Holdings, Ctrip, and TripAdvisor have PE multiples of 19.67x, 19.19x, and 36.19x, respectively. Based on analysts’ earnings forecast for the next 12 months, Expedia is trading at a hefty discount to TripAdvisor and Ctrip.com, while at a premium to Booking Holdings. Expedia, Booking Holdings, Ctrip, and Trip Advisor have forward PE multiples of 16.96x, 16.64x, 23.71x, and 28.28x, respectively. The PE multiple is widely used because of its simplicity, but it has some flaws. Earnings can be manipulated easily, which can make the multiple meaningless. Let’s compare these companies based on their EV-to-EBITDA (enterprise value-to-EBITDA) multiples. Currently, Expedia has an EV-to-EBITDA multiple of 11.16x, which is lower than those of its peers. Booking Holdings, Ctrip, and TripAdvisor have EV-to-EBITDA multiples of 14.44x, 36.14x, and 23.80x, respectively. Based on forward EV-to-EBITDA multiples, Expedia is trading at a hefty discount to its competitors. Expedia, Booking Holdings, Ctrip, and TripAdvisor have EV-to-EBITDA multiples of 8.66x, 12.88x, 17.89x, and 14.68x, respectively. Expedia makes up ~2.5% of the SPDR S&P Internet ETF (XWEB). Continue to Next Part Browse this series on Market Realist: * Part 2 - Expedia to Benefit from Rising Online Travel Demand * Part 3 - What’s Driving Wall Street’s Bullish Stance on Expedia Stock? * Part 4 - What Analysts Expect from Expedia’s Q4 Top and Bottom Line
Will TripAdvisor Stock Keep Its Momentum Alive in 2019? (Continued from Prior Part) ## Analysts’ expectations Wall Street analysts expect TripAdvisor’s (TRIP) fourth-quarter results to benefit from the healthy travel demand environment. Better-than-expected bottom-line results for three consecutive quarters increased analysts’ confidence in the stock. Analysts expect the fourth-quarter revenues to increase 6.9% YoY to $343.1 million. Segment-wise, the hotel and non-hotel revenues are expected to increase 1.8% and 25.7%, respectively, to $248.3 million and $96.8 million. The company also expects YoY growth in its consolidated, hotel, and non-hotel revenues in the fourth quarter. For 2018, the sales will likely increase 4.1% YoY to $1.61 billion due to a 24.7% growth expected in the Non-Hotel segment. The growth is expected to be partially offset by a 2.7% decline in the Hotel segment. ## EBITDA estimates For the fourth quarter, TripAdvisor’s adjusted EBITDA is expected to grow 27% YoY to $80 million. The adjusted EBITDA margin is expected to improve by 370 basis points to 23.3%. Segment-wise, the hotel and non-hotel adjusted EBITDA are expected to be $67.4 million and $8.2 million. For 2018, analysts expect TripAdvisor’s adjusted EBITDA to increase 25% YoY to $413.7 million. Analysts’ projections are in-line with the company’s mid-twenties percent range growth expectations. Analysts’ 2018 EBITDA estimates depict margin expansion of 440 basis points to 25.7%. ## Earnings estimate The non-GAAP EPS is expected to increase five-fold to $0.30 in the fourth quarter from $0.06 reported in the fourth quarter of 2017. For 2018, the non-GAAP EPS is expected to rise ~68% YoY to $1.71. Booking Holdings (BKNG), Expedia Group (EXPE), and Ctrip.com International (CTRP) are projected to report growth of 16.4%, 30%, and 21.9% YoY, respectively, in their 2018 EPS. Investors could gain exposure to TripAdvisor by investing in the SPDR S&P Internet ETF (XWEB), which has allocated 2.3% of its funds in the stock. Browse this series on Market Realist: * Part 1 - TripAdvisor in 2018: Fourth-Best Performer in the S&P 500 * Part 2 - Non-Hotel Segment: TripAdvisor’s Key Revenue Growth Driver * Part 3 - What Could Drive TripAdvisor’s User Base?
While there have been losers in most corner of the space, several ETFs still managed to end the year in green and are likely to continue outperforming in 2019 too.
Given the recovering sentiments and a bullish holiday outlook, the tech sector appears as a compelling last-minute investment. As such, we have highlighted a few beaten-down tech ETFs that could see surge this Christmas.
Currently, Expedia’s (EXPE) PE multiple stands at 20.63x. At its current multiple, the stock is trading at a premium valuation to its peers Booking Holdings (BKNG) and Ctrip.com International (CTRP) and at a discount to TripAdvisor (TRIP). Booking Holdings, Ctrip, and TripAdvisor have PE multiples of 20.05x, 17.07x, and 39.44x, respectively.
Analysts expect Expedia (EXPE) to continue to benefit from an environment of healthy travel demand. The company’s three consecutive quarters of better-than-expected results have increased analysts’ confidence in its stock.
Online retailing is likely to hit a home run this holiday season as evident from upbeat Thanksgiving data. So, investors can play these ETFs.
Given terrible trading in FAANG stocks, Investors should move on to the tech ETFs that employ some unique/smart approach or have less exposure to the big players.
TripAdvisor’s (TRIP) third-quarter revenues grew 4% YoY (year-over-year) to $458 million. The YoY growth was mainly driven by the Non-Hotel segment’s strong performance, which more than offset the Hotel segment’s dismal performance. Hotel revenues, which account for ~67% of TripAdvisor’s revenues, declined 2% YoY to $305 million.
State Street Global Advisors announced that 29 additional SPDR ETFs with $33.56 billion in assets under management have been cross-listed on the International Quotation System (SIC) of the Mexican stock ...
The month of August was solid for Wall Street driven by the dual tailwinds of solid corporate earnings and a booming economy. The Dow Jones and the S&P 500 notched their best performances for the month since 2014, climbing 2.1% and 3%, respectively, while the Nasdaq Composite logged its best August since 2000, with gains of 5.7%. Notably, the S&P 500 topped a new milestone of 2,900.