Morgan Stanley Reports Expedia Maintains Market Perform

According to Morgan Keegan, Expedia EXPE maintains Market Perform rating and $26 price target. Morgan Keegan said that business as usual at Expedia, albeit with bookings in domestic slightly weaker than expected and Int'l better than expected. “We retain our Market Perform but advise investors looking to trade the separation to take positions in the ~$23 range for favorable risk/reward. EXPE shares trade at 12x our '12E non-GAAP EPS, suggesting risk/reward with our $26 PT is neutral.” Expedia closed yesterday at $24.68.