| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 5/6 |
| Past Performance | 3/6 |
| Financial Health | 4/6 |
| Dividends | 0/6 |
EXPE Stock Overview
Expedia Group, Inc. operates as an online travel company in the United States and internationally.
Expedia Group Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$113.51 |
| 52 Week High | US$217.72 |
| 52 Week Low | US$88.70 |
| Beta | 1.61 |
| 1 Month Change | 22.91% |
| 3 Month Change | -8.35% |
| 1 Year Change | -23.63% |
| 3 Year Change | -11.73% |
| 5 Year Change | -21.02% |
| Change since IPO | 137.27% |
Recent News & Updates
Expedia: Q2 2019 Vs. Q2 2022 - Something Doesn't Add Up
We compared the two quarters and something does not add up. Even if we are not at the pre-covid-19 level in air travel, Expedia is delivering better results. We reaffirm our buy rating taking into account more costs in marketing. Last time, we analyzed Expedia very well (EXPE) providing six long-term-upside to our compelling investment case. Despite that, the company lost more than 40% of its entire market cap. Something is not right. Expedia: U.S. Exposure And Travel Recovery Will Play In Its Favour Source: Mare Evidence Lab's previous publication For the first time, we are going deep into the 2019 Q2 results providing a comps analysis with the just released 2022 Q2 numbers. No buy case recap today but from time to time we will refer to the six points in our previous analysis. Half-year 2019 versus half-year 2022 Gross bookings reached $28.3 billion in the first half year of 2019; Gross bookings recorded $26.1 billion in the first half year of 2022;
These 4 Measures Indicate That Expedia Group (NASDAQ:EXPE) Is Using Debt Extensively
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Shareholder Returns
| EXPE | US Hospitality | US Market | |
|---|---|---|---|
| 7D | 10.7% | 5.8% | 3.2% |
| 1Y | -23.6% | -15.1% | -10.2% |
Return vs Industry: EXPE underperformed the US Hospitality industry which returned -15.1% over the past year.
Return vs Market: EXPE underperformed the US Market which returned -10.2% over the past year.
Price Volatility
| EXPE volatility | |
|---|---|
| EXPE Average Weekly Movement | 8.0% |
| Hospitality Industry Average Movement | 8.6% |
| Market Average Movement | 7.7% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: EXPE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: EXPE's weekly volatility (8%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1996 | 14,800 | Peter Kern | https://www.expediagroup.com |
Expedia Group, Inc. operates as an online travel company in the United States and internationally. The company operates through Retail, B2B, and trivago segments. Its brand portfolio include Brand Expedia, a full-service online travel brand with localized websites; Hotels.com for marketing and distributing lodging accommodations; Vrbo, an online marketplace for the alternative accommodations; Orbitz, Travelocity, and CheapTickets travel websites; ebookers, an online EMEA travel agent for travelers an array of travel options; Hotwire, which offers travel booking services; CarRentals.com, an online car rental booking service; Classic Vacations, a luxury travel specialist; and Expedia Cruise, a provider of advice for travelers booking cruises.
Expedia Group Fundamentals Summary
| EXPE fundamental statistics | |
|---|---|
| Market Cap | US$17.88b |
| Earnings (TTM) | US$331.00m |
| Revenue (TTM) | US$10.67b |
54.0x
P/E Ratio1.7x
P/S RatioIs EXPE overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| EXPE income statement (TTM) | |
|---|---|
| Revenue | US$10.67b |
| Cost of Revenue | US$1.63b |
| Gross Profit | US$9.04b |
| Other Expenses | US$8.71b |
| Earnings | US$331.00m |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 2.10 |
| Gross Margin | 84.75% |
| Net Profit Margin | 3.10% |
| Debt/Equity Ratio | 199.0% |
How did EXPE perform over the long term?
See historical performance and comparisonValuation
Is EXPE undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for EXPE?
Other financial metrics that can be useful for relative valuation.
| What is EXPE's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$17.88b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.9x |
| Enterprise Value/EBITDA | 16.9x |
| PEG Ratio | 1.6x |
Price to Earnings Ratio vs Peers
How does EXPE's PE Ratio compare to its peers?
| EXPE PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 33.2x | ||
H Hyatt Hotels | 45.1x | 27.3% | US$10.1b |
HLT Hilton Worldwide Holdings | 38.9x | 14.8% | US$37.7b |
MAR Marriott International | 30.6x | 14.6% | US$53.2b |
WH Wyndham Hotels & Resorts | 18.4x | -0.9% | US$6.4b |
EXPE Expedia Group | 54x | 33.1% | US$17.9b |
Price-To-Earnings vs Peers: EXPE is expensive based on its Price-To-Earnings Ratio (54x) compared to the peer average (33.2x).
Price to Earnings Ratio vs Industry
How does EXPE's PE Ratio compare vs other companies in the US Hospitality Industry?
Price-To-Earnings vs Industry: EXPE is expensive based on its Price-To-Earnings Ratio (54x) compared to the US Hospitality industry average (18.4x)
Price to Earnings Ratio vs Fair Ratio
What is EXPE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 54x |
| Fair PE Ratio | 43.6x |
Price-To-Earnings vs Fair Ratio: EXPE is expensive based on its Price-To-Earnings Ratio (54x) compared to the estimated Fair Price-To-Earnings Ratio (43.6x).
Share Price vs Fair Value
What is the Fair Price of EXPE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: EXPE ($113.51) is trading below our estimate of fair value ($319.39)
Significantly Below Fair Value: EXPE is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.
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Future Growth
How is Expedia Group forecast to perform in the next 1 to 3 years based on estimates from 30 analysts?
Future Growth Score
5/6Future Growth Score 5/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
33.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EXPE's forecast earnings growth (33.1% per year) is above the savings rate (1.9%).
Earnings vs Market: EXPE's earnings (33.1% per year) are forecast to grow faster than the US market (14.5% per year).
High Growth Earnings: EXPE's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: EXPE's revenue (9% per year) is forecast to grow faster than the US market (7.9% per year).
High Growth Revenue: EXPE's revenue (9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EXPE's Return on Equity is forecast to be high in 3 years time (27%)
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Past Performance
How has Expedia Group performed over the past 5 years?
Past Performance Score
3/6Past Performance Score 3/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-41.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EXPE has high quality earnings.
Growing Profit Margin: EXPE became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: EXPE has become profitable over the past 5 years, growing earnings by -41.3% per year.
Accelerating Growth: EXPE has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: EXPE has become profitable in the last year, making it difficult to compare its past year earnings growth to the Hospitality industry (51%).
Return on Equity
High ROE: EXPE's Return on Equity (13.8%) is considered low.
Discover strong past performing companies
Financial Health
How is Expedia Group's financial position?
Financial Health Score
4/6Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: EXPE's short term assets ($11.8B) do not cover its short term liabilities ($13.8B).
Long Term Liabilities: EXPE's short term assets ($11.8B) exceed its long term liabilities ($7.5B).
Debt to Equity History and Analysis
Debt Level: EXPE's net debt to equity ratio (33.5%) is considered satisfactory.
Reducing Debt: EXPE's debt to equity ratio has increased from 55.5% to 199% over the past 5 years.
Debt Coverage: EXPE's debt is well covered by operating cash flow (54.7%).
Interest Coverage: EXPE's interest payments on its debt are well covered by EBIT (3.3x coverage).
Balance Sheet
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Dividend
What is Expedia Group current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
0.67%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate EXPE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate EXPE's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if EXPE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EXPE's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: EXPE is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as EXPE has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Peter Kern (54 yo)
2.33yrs
Tenure
US$296,247,749
Compensation
Mr. Peter Maxwell Kern serves as Vice Chairman of the Board at Expedia Group, Inc. since June 20, 2018 and serves as its Director since August 9, 2005. He is Chief Executive Officer at Expedia Group, Inc....
CEO Compensation Analysis
Compensation vs Market: Peter's total compensation ($USD296.25M) is above average for companies of similar size in the US market ($USD12.88M).
Compensation vs Earnings: Peter's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: EXPE's management team is considered experienced (2.7 years average tenure).
Board Members
Experienced Board: EXPE's board of directors are considered experienced (5.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EXPE insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.5%.
Top Shareholders
Company Information
Expedia Group, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Expedia Group, Inc.
- Ticker: EXPE
- Exchange: NasdaqGS
- Founded: 1996
- Industry: Hotels, Resorts and Cruise Lines
- Sector: Consumer Services
- Implied Market Cap: US$17.884b
- Shares outstanding: 157.56m
- Website: https://www.expediagroup.com
Number of Employees
Location
- Expedia Group, Inc.
- 1111 Expedia Group Way West
- Seattle
- Washington
- 98119
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/14 00:00 |
| End of Day Share Price | 2022/08/12 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.