Deutsche Bank Analyzes TripAdvisor’s Instant Book Footprint; Reiterates Buy
In a research report issued today, Deutsche Bank analyst Lloyd Walmsley reiterated a Buy rating on shares of Tripadvisor (NASDAQ:TRIP) with a $122 price target, which represents a potential upside of 37% from where the stock is currently trading.
Walmsley wrote, “Instant Book available in 58% of top hotels We believe investors are overly pessimistic about near-term prospects for TripAdvisor’s new Instant Book (IB) option. In this report, we analyze the existing footprint of IB and find that coverage, today, should provide encouraging conversion improvements on early traffic. Our data shows 58% of top ranked US hotels and 41% of international hotels in key cities have an option with IB. While it will take time to move the needle on financials, we expect to hear positive commentary from the company on IB when it reports 3Q. We see meaningful upside to revenue per hotel shopper long-term.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Lloyd Walmsley has a total average return of 28.1% and a 77.8% success rate. Walmsley has a 53.9% average return when recommending TRIP, and is ranked #52 out of 3315 analysts.