Investors seemingly were a bit confused of what to make of Expedia Inc (NASDAQ:EXPE)’s fourth quarter report that was released after the market closed yesterday. First falling quite significantly, based on opinions of the quarterly report, the stock has since rebounded and is currently up over 10% over yesterday’s closing price in the pre-market.
Perhaps the report was a bit questionable, meaning investors were not really sure if it was a good or bad report, but evidently they’ve now settled on deciding the report was more positive than negative, as the stock has suddenly surged forward.
Revenue for the quarter came in slightly below analyst’s expectations of $1.71 million, at $1.70 million. Analysts were also expecting net income per share to come in at around $1.01 while the company reported an EPS of $0.77. Despite this though, revenue increased 29% year-over-year for a company that had to deal with the Paris terrorist attacks as a deterrent for travelers.
As for this year, Expedia Inc (NASDAQ:EXPE) expects to see EBITDA grow by between 35% and 45%, which is pretty close to what analysts were expecting (42.6%). The stock closed at $94.35 during the last trading session. It is down 10.03% since July 8, 2015 and is downtrending. It has underperformed the S&P500 by 0.56%.
From a total of 14 analysts covering Expedia Inc. (NASDAQ:EXPE) stock, 10 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 71% of the ratings are positive. The highest target price is $180 while the lowest target price is $93. The mean of all analyst targets is $136.96 which is 45.16% above today’s ($94.35) stock price. Expedia Inc. was the topic of 25 analyst reports since July 24, 2015 according to the firm StockzIntelligence Inc. Wells Fargo initiated shares on January 25 with a “Outperform” rating. Vetr downgraded shares to a”Buy” rating and a $136.40 target share price in their report from a September 17. UBS maintained EXPE stock in a recent report from October 30 with a “Buy” rating. Cantor Fitzgerald maintained the rating on September 17. Cantor Fitzgerald has a “Buy” rating and a $140 price target on shares. Finally, Benchmark maintained the stock with a “Buy” rating in a report they issued on an October 30.
The institutional sentiment increased to 1.38 in Q2 2015. It’s up 0.40, from 0.98 in 2015Q2. The ratio increased, as 36 funds sold all their Expedia Inc shares they owned while 147 reduced their positions. 83 funds bought stakes while 169 increased their total positions. Institutions now own 112.92 million shares which is 10.51% more than the previous share count of 102.18 million in 2015Q2.
Altimeter Capital Management Lp holds 22.59% of its total portfolio in Expedia Inc, equating to 3.00 million shares. Glade Brook Capital Partners Llc owns 403,975 shares representing 16.67% of their total US portfolio. Moreover, Meru Capital Group Lp has 10.12% of their total portfolio invested in the company, equating to 329,400 shares. The Massachusetts-based Par Capital Management Inc has a total of 9.33% of their portfolio invested in the stock. Tekne Capital Management Llc, a New York-based fund reported 256,900 shares owned.
Expedia, Inc. is an online travel company. The company has a market cap of $14.44 billion. The Firm provides travel services and products provided by various lodging properties, airlines, car rental companies, destination service providers, cruise lines and other travel product and service companies. It has 14.88 P/E ratio. The Company’s divisions include Core Online Travel Agencies, which provides a range of travel and advertising services through a range of brands, including Expedia.com and Hotels.com in the United States and localized Expedia and Hotels.com Websites around the world, EAN, Hotwire.com, Travelocity, Venere, Wotif Group, CarRentals.com and Classic Vacations; trivago, which is engaged in sending referrals to online travel companies and travel service providers from its hotel metasearch Websites, and Egencia, which provides managed travel services.