Tripadvisor stock pops on Q4 earnings beat
Tripadvisor (TRIP) reported fourth-quarter results that topped Wall Street estimates. The company posted adjusted earnings per share of $0.38 versus an estimate of $0.21 and revenue of $390 million compared to the $373 million estimate.
Yahoo Finance's Alexandra Canal and Josh Lipton break down the report.
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Editor's note: This article was written by Stephanie Mikulich.
Video Transcript
ALEXANDRA CANAL: Shares of Tripadvisor are higher after the company exceeded fourth quarter earnings expectations on both the top and bottom lines. Taking through some of these numbers here, adjusted earnings coming in at $0.38 a share. The Street was expecting $0.21, so a significant beat there. Revenue also coming in ahead of estimates. $390 million versus the expected $373 million. Adjusted EBITDA also beating in the fourth quarter.
And on top of that, Tripadvisor is exploring a potential sale. The company said that it has formed a special committee to evaluate potential offers to buy the company or related transactions. And a lot of analysts on the Street are actually bullish about this. We saw TD Cowen recently raised its price target on the stock, and keep its market perform rating on the heels of that possible deal news. So perhaps something will come out of that.
JOSH LIPTON: Yeah, I mean, the stock just remember it surged, when Reuters first heard that. Really pumped up. I mean, so clearly analysts and investors are going to be very keen to hear any more on that. Are there active discussions, if there are discussions are there potential acquirers, any color and commentary that we can get, that's what they'll be focused on on this call.
ALEXANDRA CANAL: Yeah, any deal, I think, pumps that stock higher. But we're up about 5% right now.
