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Expedia (EXPE) Outperforms Broader Market: What You Need to Know
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Expedia (EXPE - Free Report) closed the most recent trading day at $100.18, moving +1.43% from the previous trading session. This change outpaced the S&P 500's 0.81% gain on the day. Elsewhere, the Dow saw an upswing of 0.39%, while the tech-heavy Nasdaq appreciated by 1.35%.
Coming into today, shares of the online travel company had lost 10.39% in the past month. In that same time, the Retail-Wholesale sector lost 7.92%, while the S&P 500 lost 6.19%.
Market participants will be closely following the financial results of Expedia in its upcoming release. The company is expected to report EPS of $5.13, up 26.67% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $3.87 billion, reflecting a 6.93% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $9.52 per share and a revenue of $12.82 billion, demonstrating changes of +40.21% and +9.87%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Expedia. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, Expedia boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, Expedia is holding a Forward P/E ratio of 10.37. For comparison, its industry has an average Forward P/E of 19.57, which means Expedia is trading at a discount to the group.
Also, we should mention that EXPE has a PEG ratio of 0.38. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Commerce industry had an average PEG ratio of 0.73 as trading concluded yesterday.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 72, finds itself in the top 29% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Expedia (EXPE) Outperforms Broader Market: What You Need to Know
Expedia (EXPE - Free Report) closed the most recent trading day at $100.18, moving +1.43% from the previous trading session. This change outpaced the S&P 500's 0.81% gain on the day. Elsewhere, the Dow saw an upswing of 0.39%, while the tech-heavy Nasdaq appreciated by 1.35%.
Coming into today, shares of the online travel company had lost 10.39% in the past month. In that same time, the Retail-Wholesale sector lost 7.92%, while the S&P 500 lost 6.19%.
Market participants will be closely following the financial results of Expedia in its upcoming release. The company is expected to report EPS of $5.13, up 26.67% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $3.87 billion, reflecting a 6.93% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $9.52 per share and a revenue of $12.82 billion, demonstrating changes of +40.21% and +9.87%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Expedia. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, Expedia boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, Expedia is holding a Forward P/E ratio of 10.37. For comparison, its industry has an average Forward P/E of 19.57, which means Expedia is trading at a discount to the group.
Also, we should mention that EXPE has a PEG ratio of 0.38. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Commerce industry had an average PEG ratio of 0.73 as trading concluded yesterday.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 72, finds itself in the top 29% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.