Oppenheimer Remains Bullish on Expedia (EXPE) Following 3Q
- Major stock indexes rise again to new records
- Unusual 11 Mid-Day Movers 12/8: (COOL) (TLRD) (DRAM) Higher; (SHIP) (OHRP) (MLSS) Lower
- Third-Party Said Interested in PrivateBancorp (PVTB) as CIBC (CM) Deal is Delayed
- Insys Therapeutics (INSY) Sinks as Former Employees Arrested in Racketeering Scheme
- Lower for longer, ECB scales back asset buys
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
Oppenheimer reiterated an Outperform rating on Expedia (NASDAQ: EXPE), and raised the price target to $155.00 (from $145.00), following the company's 3Q earnings report.
Analyst Jed Kelly commented, "We're increasing our SOTP price target to $155 from $145 on roll-forward to '18 estimates and maintaining our Outperform rating following a solid 3Q, where Trivago/ HomeAway acceleration offset slowing OTA room nights, causing 3Q EBITDA to be 4%/2% above Opco/Street. We believe September's 14% organic room-night rate vs. 11% in 3Q, is sustainable over the medium term, from greater variable marketing exposure. Commentary around HomeAway's "early stages in performance advertising," positions the asset well for ~30% revenue growth in next two years, while driving consolidated marketing leverage, in our view. Furthermore, we see the pending Trivago IPO as EXPE's next immediate catalyst, based on greater disclosure allowing investors to better evaluate advertising efficacy. We remain buyers at current levels on multiple levers generating 25%-plus earnings growth over the next 2-3 years."
Shares of Expedia closed at $126.42 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UBS Cuts Price Target on SecureWorks Corp. (SCWX) to $13
- lululemon athletica (LULU): Raising Estimates, Cutting Valuation Range - Wells Fargo
- UPDATE: Stifel Downgrades EMCOR Group (EME) to Hold
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Analyst PT Change
Related EntitiesEarnings, IPO
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!