TripAdvisor (TRIP - Free Report) closed the most recent trading day at $51.61, moving -1.66% from the previous trading session. This move was narrower than the S&P 500's daily loss of 2.71%. Meanwhile, the Dow lost 2.91%, and the Nasdaq, a tech-heavy index, lost 2.21%.
Prior to today's trading, shares of the travel website operator had lost 11.63% over the past month. This has lagged the Retail-Wholesale sector's loss of 8.9% and the S&P 500's loss of 8.68% in that time.
Investors will be hoping for strength from TRIP as it approaches its next earnings release, which is expected to be February 13, 2019. On that day, TRIP is projected to report earnings of $0.30 per share, which would represent year-over-year growth of 400%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $344.39 million, up 7.29% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.73 per share and revenue of $1.61 billion. These totals would mark changes of +69.61% and +3.78%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for TRIP. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, TRIP is holding a Forward P/E ratio of 30.26. This represents a premium compared to its industry's average Forward P/E of 22.84.
Meanwhile, TRIP's PEG ratio is currently 2.15. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 187, which puts it in the bottom 27% 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.
To follow TRIP in the coming trading sessions, be sure to utilize Zacks.com.