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Bull of the Day

Expedia, Inc. (EXPE)

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By: Zacks Equity Research
September 16, 2011 | Comment(s): 0
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Expedia, Inc. (EXPE - Analyst Report), one of the leading online travel companies in the world, solidly beat the Zacks Consensus Estimate in the second quarter, despite higher expenses. A stronger economy, increased travel spending by both individuals and corporations and international expansion are driving results.

Additionally, Egencia is turning around, posting strong results in the last quarter. The solid growth strategy across markets and stronger business fundamentals overall are the reasons for our Outperform recommendation.

The shares also appear cheap since they are trading at a forward P/E of 16.5X compared to a 52.2X multiple for the peer group. Our $36.00 target price, 20.0X 2011 EPS, reflects our favorable view.

Expedia, Inc. (EXPE) : FULL ANALYST REPORT

Bull of the Day
Every day we feature one stock with a Zacks Recommendation of Buy that is set to outperform over the next 6+ months. We also provide you with free access to the in-depth research report on the stock. If you would like to see all our Buy rated stocks and in-depth research reports, then check out  Zacks Premium.

Read the full analyst report on EXPE

 

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