Assessing Expedia Group: Insights From 18 Financial Analysts

In the latest quarter, 18 analysts provided ratings for Expedia Group EXPE, showcasing a mix of bullish and bearish perspectives.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Analysts have recently evaluated Expedia Group and provided 12-month price targets. The average target is $144.33, accompanied by a high estimate of $180.00 and a low estimate of $130.00. This current average has increased by 3.44% from the previous average price target of $139.53.

Decoding Analyst Ratings: A Detailed Look

The standing of Expedia Group among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Expedia Group. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Expedia Group compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

To gain a panoramic view of Expedia Group's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Expedia Group analyst ratings.

Discovering Expedia Group: A Closer Look

Expedia is the world's second-largest online travel agency by bookings, offering services for lodging (80% of total 2023 sales), air tickets (3%), rental cars, cruises, in-destination, and other (11%), and advertising revenue (6%). Expedia operates a number of branded travel booking sites, but its three core online travel agency brands are Expedia, Hotels.com, and Vrbo. It also has a metasearch brand, Trivago. Transaction fees for online bookings account for the bulk of sales and profits.

Expedia Group: A Financial Overview

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Expedia Group displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 5.96%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Expedia Group's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 10.85%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Expedia Group's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 43.4%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Expedia Group's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 1.52%, the company may face hurdles in achieving optimal financial returns.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 7.37, caution is advised due to increased financial risk.

Analyst Ratings: What Are They?

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.