TripAdvisor (TRIP) Outpaces Stock Market Gains: What You Should Know

TRIP

In the latest trading session, TripAdvisor (TRIP - Free Report) closed at $56.75, marking a +1.78% move from the previous day. This change outpaced the S&P 500's 1.07% gain on the day. Meanwhile, the Dow gained 0.65%, and the Nasdaq, a tech-heavy index, added 1.71%.

Prior to today's trading, shares of the travel website operator had lost 3.38% over the past month. This has lagged the Retail-Wholesale sector's gain of 0.66% and the S&P 500's loss of 0.58% in that time.

Wall Street will be looking for positivity from TRIP as it approaches its next earnings report date. This is expected to be February 12, 2019. In that report, analysts expect TRIP to post earnings of $0.30 per share. This would mark year-over-year growth of 400%. Meanwhile, our latest consensus estimate is calling for revenue of $344.02 million, up 7.17% from the prior-year quarter.

Investors might also notice recent changes to analyst estimates for TRIP. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. TRIP currently has a Zacks Rank of #2 (Buy).

Digging into valuation, TRIP currently has a Forward P/E ratio of 29.87. This represents a no noticeable deviation compared to its industry's average Forward P/E of 29.87.

We can also see that TRIP currently has a PEG ratio of 2.13. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TRIP's industry had an average PEG ratio of 1.92 as of yesterday's close.

The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 110, putting it in the top 43% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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