Benchmark Raises Price Target on priceline.com (PCLN), Calls Guidance Conservative
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Price: $30.05 +1.73%
Rating Summary:
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Today's Overall Ratings:
Up: 3 | Down: 5 | New: 34
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 3 | Down: 5 | New: 34
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Benchmark is reiterating its Buy rating on shares of priceline.com (NASDAQ: PCLN) and is raising its price target from $638 to $692 following the release of its Q4 results.
The company reported strong Q4 results as gross booking grew 52 percent and Q1's guidance of 41-46 percent growth was larger than originally anticipated.
The firm notes the company's Q1 guidance may prove to be conservative as domestic booking is only forecasted to grow by 10 percent. Benchmark highlights this includes a 5-6 percent increase in ADRs, which implies limited volume growth and ongoing headwinds in the opaque channel. An analyst at Benchmark comments, "We also expect some carryover of the international strength seen in 4Q, particularly in Asia and South America and absent any material deterioration in Europe."
Benchmark raised its Q1 and FY12 EPS estimates to $3.95 and $31.30. The firm estimates gross booking will increase 34 percent in 2012. For FY13, the firm forecasts EPS of $38.
For an analyst ratings summary and ratings history on priceline.com click here. For more ratings news on priceline.com click here.
Shares of priceline.com closed at $591.54 yesterday.
The company reported strong Q4 results as gross booking grew 52 percent and Q1's guidance of 41-46 percent growth was larger than originally anticipated.
The firm notes the company's Q1 guidance may prove to be conservative as domestic booking is only forecasted to grow by 10 percent. Benchmark highlights this includes a 5-6 percent increase in ADRs, which implies limited volume growth and ongoing headwinds in the opaque channel. An analyst at Benchmark comments, "We also expect some carryover of the international strength seen in 4Q, particularly in Asia and South America and absent any material deterioration in Europe."
Benchmark raised its Q1 and FY12 EPS estimates to $3.95 and $31.30. The firm estimates gross booking will increase 34 percent in 2012. For FY13, the firm forecasts EPS of $38.
For an analyst ratings summary and ratings history on priceline.com click here. For more ratings news on priceline.com click here.
Shares of priceline.com closed at $591.54 yesterday.
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