Strength across all major Expedia (EXPE) brands as well as better-than-expected performance of the Travelocity partnership contributed to solid 2Q results that were comfortably above Street expectations.’
In reaction to EXPE’s results, Cantor analyst Naved Khan today reiterated a Buy rating and raised his price target on EXPE’s stock to $92 (from $82).
Khan noted, “We remain constructive on EXPE, given a) our view that healthy organic growth in room nights is sustainable (driven by ETP, product improvements, etc.), b) strong momentum in Trivago, c) potential for further upside from Travelocity partnership, and d) the stock’s attractive valuation at ~9x CY:14E EBITDA”.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform analyst Naved Khan has a 24.6% average return and a 81.5% success rate. Khan has a 14.4% average return when recommending EXPE, and is ranked #140 out of 3195 analysts.