EXPE

Expedia Group Inc

TMT, Consumer


Presented:07/16/2019
Price:$136.37
Cap:$20.29B
Current Price:$151.20
Cap:$19.68B

Presented

Date07/16/2019
Price$136.37
Market Cap$20.29B
Ent Value$18.85B
P/E Ratio47.79x
Book Value$27.45
Div Yield0.41%
Shares O/S148.81M
Ave Daily Vol1,562,404
Short Int8.92%

Current

Price$151.20
Market Cap$19.68B
Expedia Group, Inc. is an online travel company, which engages in the provision of travel products and services to leisure and corporate travelers. It operates through the following business segments: Core OTA, trivago, HomeAway, and Egencia. The Core OTA segment offers full range of travel and advertising services to worldwide customers through a variety of brands including: Expedia.com and Hotels.com. The trivago segment involves in sending referrals to online travel companies and travel service providers from its hotel metasearch websites. The HomeAway segment operates an online marketplace for the vacation rental industry. The Egencia segment manages travel services to corporate customers worldwide. The company was founded in 1994 and is headquartered in Bellevue, WA.

Expedia Group Inc (EXPE) - Long

Publicly traded companies mentioned herein: Alphabet Inc (GOOGL), Amazon.com Inc (AMZN), Booking Holdings Inc (BKNG), Expedia Group Inc (EXPE)

Highlights

The presenter is long shares of Expedia (EXPE), predominantly on the belief that Amazon (AMZN) should acquire the online travel company. AMZN’s main goal is to become the most consumer-centric company in the world, and they only enter a market if it’s unquestionably good for the consumer. This deal would be unique in that it would benefit Prime Members, consumers, hotel operators, and AMZN shareholders. It would also completely shake up the online travel market and players such as Travelocity, Booking.com (BKNG), and Google (GOOGL). The presenter believes now is the right time to bring AMZN to the table because of the pause in competitive intensity and EXPE’s struggles in its vacation rental business.

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Idea Discussion

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