Expedia Shares Surge 8% on Q3 Earnings Beat

Expedia Group Inc (NASDAQ:EXPE) is a leading online travel company offering a wide array of services, including hotel bookings, airline tickets, and vacation packages. The company operates through various brands such as Expedia.com, Hotels.com, and Vrbo, competing with travel giants like Booking Holdings and TripAdvisor. On August 12, 2025, Citigroup adjusted its rating for Expedia to Neutral, maintaining a hold action. At the time, the stock price was $203.19. Citigroup also raised Expedia's price target from $177 to $206, as highlighted by TheFly.

Expedia's second-quarter 2025 results were impressive, with earnings per share (EPS) of $4.24 and revenues of $3.79 billion, both surpassing consensus estimates. The EPS exceeded expectations by 2.42%, marking a 20.8% increase from the previous year. Revenues rose by 6.4% year over year, beating estimates by 1.94%. This strong performance is reflected in the stock's current price of $203.19, an increase of 5.48% or $10.56.

The company's B2B segment showed robust performance, with bookings jumping 17%, marking the 16th consecutive quarter of double-digit growth. B2B revenues increased by 15% year over year to $1.21 billion, while B2C revenues saw a modest 2% rise to $2.48 billion. Additionally, advertising revenues experienced a significant 19% increase year over year. These results have led Expedia to raise its guidance for the third quarter and the full year 2025, projecting higher bookings, revenue growth, and margin expansion.

Expedia's total gross bookings reached $30.4 billion, reflecting a 5% year-over-year increase. Booked room nights rose by 7%, primarily fueled by growth outside the United States. Lodging gross bookings saw a 6% increase, while hotel bookings climbed 8%, bolstered by B2B and Brand Expedia. Adjusted EBITDA rose by 16% to $908 million, with margins expanding by 190 basis points to 24%. The company has revised its full-year guidance, now projecting gross bookings to grow between 3% and 5% for the year.

Following these results, Expedia has raised its full-year revenue guidance to a range of $14.10 billion to $14.38 billion, compared to the Street consensus estimate of $14.15 billion. For the third quarter, the company anticipates revenue between $4.22 billion and $4.30 billion. As of the latest market close, Expedia shares were priced at $187.61, with a market capitalization of approximately $24.71 billion. The trading volume for the day is 2,429,306 shares on the NASDAQ exchange.

• Richard Clarke from Bernstein sets a new price target for Expedia at $215, indicating a potential 10.11% increase.
• Expedia's Q2 revenue reached $3.79 billion, surpassing Street consensus estimates and demonstrating strong financial performance.
• The company raised its full-year revenue guidance to between $14.10 billion and $14.38 billion, above Street consensus estimates.

Expedia Group Inc. (NASDAQ:EXPE) is a leading online travel company that provides a wide range of travel services, including hotel bookings, airline tickets, and vacation packages. The company operates through various brands such as Expedia.com, Hotels.com, and Vrbo. In the competitive travel industry, Expedia faces rivals like Booking Holdings and TripAdvisor.

On August 10, 2025, Richard Clarke from Bernstein set a new price target for Expedia at $215. At that time, the stock was trading at $195.26, indicating a potential 10.11% increase. This optimistic outlook aligns with Expedia's strong financial performance in the second quarter, where revenue reached $3.79 billion, surpassing the Street consensus estimate of $3.70 billion.

Expedia's earnings per share (EPS) also exceeded expectations, coming in at $4.24 compared to the anticipated $3.90. CEO Ariane Gorin expressed satisfaction with these results, highlighting the company's ability to surpass both top and bottom-line expectations. This strong performance likely contributed to the positive sentiment reflected in the new price target.

Following the impressive second-quarter results, Expedia raised its full-year revenue guidance to a range of $14.10 billion to $14.38 billion, above the Street consensus estimate of $14.15 billion. For the third quarter, the company anticipates revenue between $4.22 billion and $4.30 billion, further supporting the optimistic outlook for the stock.

On the day of the announcement, Expedia shares closed at $187.61, but have since risen to $195.26, marking a 4.08% increase. The stock has fluctuated between a low of $191.15 and a high of $213 today. With a market capitalization of approximately $23.74 billion and a trading volume of 6,980,139 shares, Expedia remains a significant player in the travel industry.

Expedia Group (NASDAQ:EXPE) delivered stronger-than-expected fourth-quarter results, surpassing analyst estimates and sending shares up 17% intra-day today. The online travel giant benefited from sustained travel demand, accelerating growth across its core consumer brands and B2B segment.

The company posted adjusted earnings per share of $2.39, comfortably beating the analyst consensus of $2.02. Revenue climbed 10% year-over-year to $3.18 billion, exceeding the forecasted $3.07 billion. Total gross bookings surged 13% YoY in Q4, reflecting robust momentum across Expedia’s travel ecosystem.

Lodging demand remained strong, with room nights booked rising 12% and hotel bookings jumping 14% compared to the prior year. Both B2C and B2B segments showed accelerating growth, with sequential gains of 5 percentage points in Q4, reaching 9% and 24% growth, respectively.

Profitability also saw a meaningful boost. Adjusted EBITDA rose 21%, accompanied by a 175 basis point margin expansion, while adjusted EBIT soared 50%, driven by a 282 basis point margin improvement.

Expedia Group (NASDAQ:EXPE) delivered stronger-than-expected fourth-quarter results, surpassing analyst estimates and sending shares up 17% intra-day today. The online travel giant benefited from sustained travel demand, accelerating growth across its core consumer brands and B2B segment.

The company posted adjusted earnings per share of $2.39, comfortably beating the analyst consensus of $2.02. Revenue climbed 10% year-over-year to $3.18 billion, exceeding the forecasted $3.07 billion. Total gross bookings surged 13% YoY in Q4, reflecting robust momentum across Expedia’s travel ecosystem.

Lodging demand remained strong, with room nights booked rising 12% and hotel bookings jumping 14% compared to the prior year. Both B2C and B2B segments showed accelerating growth, with sequential gains of 5 percentage points in Q4, reaching 9% and 24% growth, respectively.

Profitability also saw a meaningful boost. Adjusted EBITDA rose 21%, accompanied by a 175 basis point margin expansion, while adjusted EBIT soared 50%, driven by a 282 basis point margin improvement.

Expedia Group, Inc. (NASDAQ: EXPE) is a leading company in the online travel industry, offering a variety of services through its extensive brand portfolio. The company is known for its travel booking platforms, which include Expedia.com, Hotels.com, and VRBO, among others. Expedia competes with other major players like Booking Holdings, which also offers travel services but at a higher price point.

In the past month, analysts set an average price target of $166 for Expedia's stock, reflecting their short-term expectations. This target considers recent developments and market conditions. Notably, Citigroup has set a more optimistic price target of $200, suggesting a positive outlook for Expedia's financial performance, as highlighted by Citigroup.

Three months ago, the average price target was higher at $182.2, indicating greater optimism among analysts. This could be due to favorable market trends or company-specific factors. Expedia's strong track record of surpassing earnings expectations and its potential for an earnings beat in the upcoming report may have contributed to this optimism.

A year ago, the average price target was $156.48, showing an upward trend in analysts' expectations over the past year. This trend aligns with Expedia's recent revenue growth of 3.33% year-over-year and 14.11% quarter-over-quarter in the third quarter of 2024. The company's improved operating and net margins further support this positive outlook.

Expedia's low debt level and ongoing share buyback program, expected to continue into 2025, are anticipated to enhance the company's valuation. Additionally, the company's international expansion efforts and enhancements in VRBO and bundled programs contribute to its growth potential. These factors, along with the appointment of a new Chief Financial Officer, support the positive outlook for Expedia's stock.

Expedia Group, Inc. (NASDAQ: EXPE) is a leading company in the online travel industry, offering a variety of services through its extensive brand portfolio. The company is known for its travel booking platforms, which include Expedia.com, Hotels.com, and VRBO, among others. Expedia competes with other major players like Booking Holdings, which also offers travel services but at a higher price point.

In the past month, analysts set an average price target of $166 for Expedia's stock, reflecting their short-term expectations. This target considers recent developments and market conditions. Notably, Citigroup has set a more optimistic price target of $200, suggesting a positive outlook for Expedia's financial performance, as highlighted by Citigroup.

Three months ago, the average price target was higher at $182.2, indicating greater optimism among analysts. This could be due to favorable market trends or company-specific factors. Expedia's strong track record of surpassing earnings expectations and its potential for an earnings beat in the upcoming report may have contributed to this optimism.

A year ago, the average price target was $156.48, showing an upward trend in analysts' expectations over the past year. This trend aligns with Expedia's recent revenue growth of 3.33% year-over-year and 14.11% quarter-over-quarter in the third quarter of 2024. The company's improved operating and net margins further support this positive outlook.

Expedia's low debt level and ongoing share buyback program, expected to continue into 2025, are anticipated to enhance the company's valuation. Additionally, the company's international expansion efforts and enhancements in VRBO and bundled programs contribute to its growth potential. These factors, along with the appointment of a new Chief Financial Officer, support the positive outlook for Expedia's stock.

• Expedia Group, Inc. (NASDAQ:EXPE) is expected to release its quarterly earnings on February 6, 2025, with an estimated EPS of $2.06 and projected revenue of $3.07 billion.
• The revenue projection represents a 6.45% increase from the same quarter last year, driven by increased bookings and expansion in its B2B segment.
• Despite positive revenue projections, Expedia faces strong competition and a downward revision of the consensus EPS estimate by 1.3% over the past 30 days.

Expedia Group, Inc. (NASDAQ:EXPE) is a leading online travel company offering a wide range of services, including hotel bookings, flight reservations, and vacation packages. Operating through various brands such as Expedia.com, Hotels.com, and Vrbo, Expedia is a major player in the travel industry, competing with giants like Booking Holdings and TripAdvisor.

As Expedia prepares to release its quarterly earnings on February 6, 2025, analysts estimate the earnings per share (EPS) to be $2.06, with projected revenue of approximately $3.07 billion. This revenue projection marks a 6.45% increase from the same quarter last year, as highlighted by Zacks. The anticipated growth is attributed to increased bookings and expansion in its B2B segment.

Despite the positive outlook, strong competition may challenge Expedia's growth in the fourth quarter. The consensus EPS estimate has been revised downwards by 1.3% over the past 30 days, indicating analysts' adjustments to their initial estimates. Such revisions can significantly influence investor actions, as empirical research shows a strong correlation between earnings estimate trends and short-term stock price performance.

Expedia has a history of exceeding the Zacks Consensus Estimate, with an average surprise of 42.74% over the past four quarters. If the company surpasses the current consensus estimates, it could positively impact the stock's price. Conversely, if the results fall short, the stock may experience a decline. The outcome of the earnings report and subsequent management discussion will be crucial for the stock's future performance.

The company's financial metrics provide additional insights into its valuation and financial health. Expedia's price-to-earnings (P/E) ratio is approximately 20.64, while its price-to-sales ratio stands at about 1.56. The enterprise value to sales ratio is around 1.59, reflecting the company's total valuation relative to its sales. However, the debt-to-equity ratio is notably high at approximately 4.96, indicating a significant reliance on debt financing.