We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Expedia (EXPE) Dips More Than Broader Markets: What You Should Know
Read MoreHide Full Article
Expedia (EXPE - Free Report) closed at $111.54 in the latest trading session, marking a -1.11% move from the prior day. This move lagged the S&P 500's daily loss of 0.2%. Elsewhere, the Dow lost 0.38%, while the tech-heavy Nasdaq lost 9.78%.
Heading into today, shares of the online travel company had gained 0.71% over the past month, lagging the Retail-Wholesale sector's gain of 6.88% and the S&P 500's gain of 4.16% in that time.
Investors will be hoping for strength from Expedia as it approaches its next earnings release. The company is expected to report EPS of $2.40, up 22.45% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.36 billion, up 5.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.14 per share and revenue of $12.89 billion, which would represent changes of +34.61% and +10.46%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Expedia. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 has moved 1.68% lower. Expedia is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Expedia has a Forward P/E ratio of 12.34 right now. This valuation marks a discount compared to its industry's average Forward P/E of 20.36.
Also, we should mention that EXPE has a PEG ratio of 1.23. 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. EXPE's industry had an average PEG ratio of 1.16 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow EXPE in the coming trading sessions, be sure to utilize Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Expedia (EXPE) Dips More Than Broader Markets: What You Should Know
Expedia (EXPE - Free Report) closed at $111.54 in the latest trading session, marking a -1.11% move from the prior day. This move lagged the S&P 500's daily loss of 0.2%. Elsewhere, the Dow lost 0.38%, while the tech-heavy Nasdaq lost 9.78%.
Heading into today, shares of the online travel company had gained 0.71% over the past month, lagging the Retail-Wholesale sector's gain of 6.88% and the S&P 500's gain of 4.16% in that time.
Investors will be hoping for strength from Expedia as it approaches its next earnings release. The company is expected to report EPS of $2.40, up 22.45% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.36 billion, up 5.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.14 per share and revenue of $12.89 billion, which would represent changes of +34.61% and +10.46%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Expedia. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 has moved 1.68% lower. Expedia is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Expedia has a Forward P/E ratio of 12.34 right now. This valuation marks a discount compared to its industry's average Forward P/E of 20.36.
Also, we should mention that EXPE has a PEG ratio of 1.23. 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. EXPE's industry had an average PEG ratio of 1.16 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow EXPE in the coming trading sessions, be sure to utilize Zacks.com.