company background image
TZOO

TravelzooNasdaqGS:TZOO Stock Report

Market Cap

US$131.4m

7D

-9.0%

1Y

59.3%

Updated

27 Oct, 2021

Data

Company Financials +
TZOO fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance1/6
Financial Health3/6
Dividends0/6

TZOO Overview

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

Travelzoo Competitors

TripAdvisor

NasdaqGS:TRIP

US$4.5b

trivago

NasdaqGS:TRVG

US$905.3m

Microsoft

NasdaqGS:MSFT

US$2.4t

Airbnb

NasdaqGS:ABNB

US$104.7b

Price History & Performance

Summary of all time highs, changes and price drops for Travelzoo
Historical stock prices
Current Share PriceUS$11.28
52 Week HighUS$6.75
52 Week LowUS$19.83
Beta2.03
1 Month Change-6.62%
3 Month Change-21.61%
1 Year Change59.32%
3 Year Change47.07%
5 Year Change20.00%
Change since IPO73.54%

Recent News & Updates

Aug 22

Travelzoo: Fair Value Likely Reached

Travelzoo is seeing a significant recovery in revenues after the travel slump in 2020 as a result of the COVID-19 pandemic. That said, I estimate that fair value for this stock has been reached. As the winter season approaches, we could see some downside in the stock if travel demand weakens significantly.

Shareholder Returns

TZOOUS Interactive Media and ServicesUS Market
7D-9.0%-5.0%0.9%
1Y59.3%43.1%33.4%

Return vs Industry: TZOO exceeded the US Interactive Media and Services industry which returned 43.1% over the past year.

Return vs Market: TZOO exceeded the US Market which returned 33.4% over the past year.

Price Volatility

Is TZOO's price volatile compared to industry and market?
TZOO volatility
TZOO Beta2.03
Industry Beta1.13
Market Beta1

Stable Share Price: TZOO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: TZOO's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1998236Holger Bartelhttps://www.travelzoo.com

Travelzoo, an Internet media company, 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 Travelzoo Website; Travelzoo iPhone and Android apps; Travelzoo Top 20 email newsletter; and Newsflash email alert service. The company also operates the Travelzoo Network, a network of third-party Websites that list travel deals published by the company; and Local Deals and Getaway listings, which allow its members to purchase vouchers for deals from local businesses, such as spas, hotels, and restaurants.

Travelzoo Fundamentals Summary

How do Travelzoo's earnings and revenue compare to its market cap?
TZOO fundamental statistics
Market CapUS$131.38m
Earnings (TTM)US$410.00k
Revenue (TTM)US$59.63m

320.5x

P/E Ratio

2.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TZOO income statement (TTM)
RevenueUS$59.63m
Cost of RevenueUS$11.26m
Gross ProfitUS$48.37m
ExpensesUS$47.96m
EarningsUS$410.00k

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 29, 2021

Earnings per share (EPS)0.035
Gross Margin81.12%
Net Profit Margin0.69%
Debt/Equity Ratio56.3%

How did TZOO perform over the long term?

See historical performance and comparison

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TZOO ($11.28) is trading below our estimate of fair value ($371.1)

Significantly Below Fair Value: TZOO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TZOO is poor value based on its PE Ratio (320.5x) compared to the US Interactive Media and Services industry average (37.7x).

PE vs Market: TZOO is poor value based on its PE Ratio (320.5x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: TZOO is poor value based on its PEG Ratio (4.8x)


Price to Book Ratio

PB vs Industry: TZOO is overvalued based on its PB Ratio (131.1x) compared to the US Interactive Media and Services industry average (4.3x).


Future Growth

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

66.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TZOO's forecast earnings growth (66.2% per year) is above the savings rate (2%).

Earnings vs Market: TZOO's earnings (66.2% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TZOO's revenue (18.2% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: TZOO's revenue (18.2% 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


Past Performance

How has Travelzoo performed over the past 5 years?

-36.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TZOO has a large one-off gain of $897.0K impacting its June 30 2021 financial results.

Growing Profit Margin: TZOO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: TZOO's earnings have declined by 36.3% per year over the past 5 years.

Accelerating Growth: TZOO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: TZOO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Interactive Media and Services industry (9.1%).


Return on Equity

High ROE: TZOO's Return on Equity (8.9%) is considered low.


Financial Health

How is Travelzoo's financial position?


Financial Position Analysis

Short Term Liabilities: TZOO's short term assets ($95.9M) do not cover its short term liabilities ($105.5M).

Long Term Liabilities: TZOO's short term assets ($95.9M) exceed its long term liabilities ($15.7M).


Debt to Equity History and Analysis

Debt Level: TZOO's debt to equity ratio (56.3%) is considered high.

Reducing Debt: Insufficient data to determine if TZOO's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: TZOO's debt is well covered by operating cash flow (1760%).

Interest Coverage: TZOO's interest payments on its debt are well covered by EBIT (3.6x coverage).


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

High Dividend: Unable to evaluate TZOO'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 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

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Holger Bartel (54 yo)

5.75yrs

Tenure

US$6,058,250

Compensation

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


CEO Compensation Analysis

Compensation vs Market: Holger's total compensation ($USD6.06M) is above average for companies of similar size in the US market ($USD541.00K).

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


Leadership Team

Experienced Management: TZOO's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: TZOO's board of directors are considered experienced (4.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TZOO insiders have only sold shares 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 3%.


Top Shareholders

Company Information

Travelzoo's 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$131.378m
  • Shares outstanding: 11.65m
  • Website: https://www.travelzoo.com

Number of Employees


Location

  • Travelzoo
  • 590 Madison Avenue
  • 35th Floor
  • New York
  • New York
  • 10022
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/27 23:03
End of Day Share Price2021/10/27 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.