NasdaqGS:TZOO

Stock Analysis Report

Executive Summary

Travelzoo provides travel, entertainment, and local deals from travel and entertainment companies, and local businesses in the Asia Pacific, Europe, and North America.

Snowflake

Solid track record with excellent balance sheet.


Similar Companies

Share Price & News

How has Travelzoo's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TZOO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.9%

TZOO

0.09%

US Interactive Media and Services

0.2%

US Market


1 Year Return

5.3%

TZOO

21.2%

US Interactive Media and Services

12.2%

US Market

Return vs Industry: TZOO underperformed the US Interactive Media and Services industry which returned 21.2% over the past year.

Return vs Market: TZOO underperformed the US Market which returned 12.2% over the past year.


Shareholder returns

TZOOIndustryMarket
7 Day-2.9%0.09%0.2%
30 Day-14.2%3.0%3.5%
90 Day-17.6%6.7%6.3%
1 Year5.3%5.3%21.3%21.2%14.7%12.2%
3 Year-11.0%-11.0%59.4%59.3%47.8%38.3%
5 Year-23.4%-23.4%106.1%105.9%62.1%44.1%

Price Volatility Vs. Market

How volatile is Travelzoo's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Travelzoo undervalued compared to its fair value and its price relative to the market?

25.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TZOO ($9.57) is trading below our estimate of fair value ($12.84)

Significantly Below Fair Value: TZOO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TZOO is good value based on its PE Ratio (18.1x) compared to the Interactive Media and Services industry average (24.7x).

PE vs Market: TZOO is good value based on its PE Ratio (18.1x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: TZOO is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: TZOO is overvalued based on its PB Ratio (9x) compared to the US Interactive Media and Services industry average (2.9x).


Next Steps

Future Growth

How is Travelzoo forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

12.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TZOO's forecast earnings growth (12.5% per year) is above the savings rate (2.7%).

Earnings vs Market: TZOO's earnings (12.5% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: TZOO's earnings are forecast to grow, but not significantly.

Revenue vs Market: TZOO's revenue (5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: TZOO's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if TZOO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Travelzoo performed over the past 5 years?

-25.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TZOO has high quality earnings.

Growing Profit Margin: TZOO's current net profit margins (5.7%) are higher than last year (3.4%).


Past Earnings Growth Analysis

Earnings Trend: TZOO's earnings have declined by -25.3% per year over the past 5 years.

Accelerating Growth: TZOO's earnings growth over the past year (67.5%) exceeds its 5-year average (-25.3% per year).

Earnings vs Industry: TZOO earnings growth over the past year (67.5%) exceeded the Interactive Media and Services industry 22.1%.


Return on Equity

High ROE: TZOO's Return on Equity (51%) is considered outstanding.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Travelzoo's financial position?


Financial Position Analysis

Short Term Liabilities: TZOO's short term assets ($27.0M) do not cover its short term liabilities ($28.5M)

Long Term Liabilities: TZOO's short term assets (27.0M) exceeds its long term liabilities (12.7M)


Debt to Equity History and Analysis

Debt Level: TZOO is debt free.

Reducing Debt: TZOO has no debt compared to 5 years ago when its debt to equity ratio was 0.03%.

Debt Coverage: TZOO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: TZOO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: TZOO has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if TZOO's debt is covered by short term assets.


Next Steps

Dividend

What is Travelzoo's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.6%industryaverage0.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate TZOO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate TZOO's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TZOO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TZOO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TZOO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Travelzoo's salary, the management and board of directors tenure and is there insider trading?

1.5yrs

Average management tenure


CEO

Holger Bartel (52yo)

3.8yrs

Tenure

US$232,000

Compensation

Mr. Holger Bartel, Ph.D. Global Chief Executive Officer of Travelzoo Inc. since January 1, 2016. Mr. Bartel served as the Chairman of Travelzoo Inc. since June 2010 until May 22, 2017. Mr. Bartel served as ...


CEO Compensation Analysis

Compensation vs Market: Holger's total compensation ($USD232.00K) is below average for companies of similar size in the US market ($USD510.82K).

Compensation vs Earnings: Holger's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.5yrs

Average Tenure

47yo

Average Age

Experienced Management: TZOO's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Age and Tenure

3.4yrs

Average Tenure

50yo

Average Age

Experienced Board: TZOO's board of directors are considered experienced (3.4 years average tenure).


Insider Trading

Insider Buying: TZOO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$798,66817 Sep 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares64,150
Max PriceUS$12.45
SellUS$695,52006 Sep 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares64,400
Max PriceUS$10.80
SellUS$519,85204 Sep 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares45,761
Max PriceUS$11.90
SellUS$45807 Aug 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares39
Max PriceUS$11.75
SellUS$1,116,59731 Jul 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares87,300
Max PriceUS$12.81
SellUS$37,60026 Jul 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares2,500
Max PriceUS$15.04
SellUS$943,39017 Jun 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares56,000
Max PriceUS$16.90
SellUS$492,15130 May 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares26,409
Max PriceUS$18.69
SellUS$1,145,05024 May 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares60,591
Max PriceUS$19.08
SellUS$1,086,96016 May 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares52,000
Max PriceUS$20.98
BuyUS$78,04711 Mar 19
Christian Smart
EntityIndividual
Role
Other Key Executive
General Manager of Germany
Shares6,000
Max PriceUS$13.02
SellUS$1,540,00014 Feb 19
Ralph Bartel
EntityIndividual
Role
Chairman of the Board
Founder
Shares100,000
Max PriceUS$15.40
BuyUS$5,71918 Dec 18
Christian Smart
EntityIndividual
Role
Other Key Executive
General Manager of Germany
Shares700
Max PriceUS$8.17
BuyUS$29,32110 Dec 18
Christian Smart
EntityIndividual
Role
Other Key Executive
General Manager of Germany
Shares3,300
Max PriceUS$8.91

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Holger Bartel (52yo)

    Global Chief Executive Officer

    • Tenure: 3.8yrs
    • Compensation: US$232.00k
  • Ralph Bartel (53yo)

    Founder

    • Tenure: 2.5yrs
  • Lisa Su (43yo)

    Chief Accounting Officer

    • Tenure: 1.1yrs
    • Compensation: US$341.07k
  • Wayne Lee (47yo)

    Interim Chief Financial Officer

    • Tenure: 1.1yrs
    • Compensation: US$370.49k
  • Tara Kraft

    Head of Publishing

    • Tenure: 2.5yrs
  • Mike Peterson (61yo)

    Chief Technology Officer

    • Tenure: 1.4yrs
    • Compensation: US$782.11k
  • Christian Smart (39yo)

    General Manager of Germany

    • Tenure: 2.9yrs
    • Compensation: US$393.15k
  • Sharry Sun

    Global Head of Brand

    • Tenure: 1.5yrs
  • Scott Wang

    Head of Strategy of Asia Pacific & GM of Greater China

    • Tenure: 0.5yrs
  • Christina Ciocca (31yo)

    Counsel & Secretary

    • Tenure: 1.6yrs

Board Members

  • Ralph Bartel (53yo)

    Founder

    • Tenure: 2.5yrs
  • Beatrice Tarka (47yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$70.72k
  • Mary Reilly (66yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$107.44k
  • Carrie Liu (38yo)

    Independent Director

    • Tenure: 2.5yrs
    • Compensation: US$74.64k

Company Information

Travelzoo's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Travelzoo
  • Ticker: TZOO
  • Exchange: NasdaqGS
  • Founded: 1998
  • Industry: Interactive Media and Services
  • Sector: Media
  • Market Cap: US$111.652m
  • Shares outstanding: 11.68m
  • Website: https://www.travelzoo.com

Number of Employees


Location

  • Travelzoo
  • 590 Madison Avenue
  • 37th Floor
  • New York
  • New York
  • 10022
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TZOONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 2002
TXM1DB (Deutsche Boerse AG)YesCommon StockDEEURAug 2002

Biography

Travelzoo provides travel, entertainment, and local deals from travel and entertainment companies, and local businesses in the Asia Pacific, Europe, and North America. Its publications and products include ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/14 23:47
End of Day Share Price2019/11/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.