Expedia Group (NASDAQ:EXPE) Shares Down 7% - Here's What Happened

Key Points

• Expedia shares fell 7.2% to approximately $277.11, down from the prior close of $298.04, with trading volume below its average.
• Despite the selloff, Expedia recently beat quarterly earnings and revenue expectations, reporting $5.76 in EPS and $4.32 billion in revenue, up 14% year over year.
• Analyst sentiment remains mixed, with an overall “Hold” rating and a consensus price target of $318.71; 18 analysts rate the stock a Buy and 22 recommend holding it.

Expedia Group, Inc. (NASDAQ:EXPE - Get Free Report)'s share price dropped 7% during trading on Tuesday . The stock traded as low as $276.29 and last traded at $277.1120. 1,534,832 shares traded hands during trading, a decline of 23% from the average daily volume of 1,999,941 shares. The stock had previously closed at $298.04.

Wall Street Analysts Forecast Growth

EXPE has been the topic of several recent research reports. Truist Financial increased their target price on shares of Expedia Group from $246.00 to $309.00 and gave the stock a "hold" rating in a report on Monday, August 3rd. Wedbush increased their price objective on shares of Expedia Group from $334.00 to $417.00 and gave the company an "outperform" rating in a research note on Thursday, August 20th. Piper Sandler reissued a "neutral" rating and set a $325.00 price objective (up from $245.00) on shares of Expedia Group in a report on Thursday, August 6th. Barclays boosted their price objective on shares of Expedia Group from $264.00 to $320.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 6th. Finally, Bank of America reaffirmed a "buy" rating on shares of Expedia Group in a research report on Thursday, August 6th. Eighteen research analysts have rated the stock with a Buy rating and twenty-two have assigned a Hold rating to the company's stock. According to data from MarketBeat, Expedia Group currently has an average rating of "Hold" and a consensus target price of $318.71.

Expedia Group Stock Down 7.2%

The company's fifty day simple moving average is $295.50 and its 200-day simple moving average is $254.81. The company has a debt-to-equity ratio of 2.21, a current ratio of 0.80 and a quick ratio of 0.80. The firm has a market capitalization of $33.19 billion, a PE ratio of 17.23, a price-to-earnings-growth ratio of 0.73 and a beta of 1.25.

Expedia Group (NASDAQ:EXPE - Get Free Report) last announced its earnings results on Wednesday, August 5th. The online travel company reported $5.76 earnings per share for the quarter, topping the consensus estimate of $5.22 by $0.54. Expedia Group had a return on equity of 87.32% and a net margin of 12.97%.The firm had revenue of $4.32 billion for the quarter, compared to the consensus estimate of $4.17 billion. During the same period in the previous year, the business earned $4.24 EPS. The firm's revenue for the quarter was up 14.0% on a year-over-year basis. On average, analysts forecast that Expedia Group, Inc. will post 17.15 EPS for the current year.

Expedia Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 17th. Stockholders of record on Thursday, August 27th will be issued a dividend of $0.48 per share. The ex-dividend date is Thursday, August 27th. This represents a $1.92 annualized dividend and a dividend yield of 0.7%. Expedia Group's dividend payout ratio is 11.97%.

Insider Activity at Expedia Group

In other Expedia Group news, CAO Lance A. Soliday sold 2,810 shares of the firm's stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $323.65, for a total value of $909,456.50. Following the completion of the transaction, the chief accounting officer owned 12,006 shares of the company's stock, valued at approximately $3,885,741.90. This trade represents a 18.97% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Robert J. Dzielak sold 3,003 shares of the business's stock in a transaction on Tuesday, August 11th. The shares were sold at an average price of $315.00, for a total transaction of $945,945.00. Following the sale, the insider directly owned 103,829 shares in the company, valued at $32,706,135. This trade represents a 2.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 11,950 shares of company stock valued at $3,881,995 in the last three months. 5.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of EXPE. Plato Investment Management Ltd purchased a new stake in Expedia Group in the second quarter valued at $2,562,000. Corient Private Wealth LLC raised its stake in shares of Expedia Group by 17.8% during the 4th quarter. Corient Private Wealth LLC now owns 61,211 shares of the online travel company's stock valued at $17,344,000 after buying an additional 9,256 shares during the last quarter. Lombard Odier Asset Management Switzerland SA acquired a new position in shares of Expedia Group in the 1st quarter valued at about $910,000. Bank of New York Mellon Corp purchased a new stake in shares of Expedia Group in the second quarter worth about $166,203,000. Finally, Hennion & Walsh Asset Management Inc. purchased a new stake in shares of Expedia Group in the second quarter worth about $1,354,000. 90.76% of the stock is currently owned by hedge funds and other institutional investors.

Expedia Group Company Profile

Expedia Group NASDAQ: EXPE is a global travel technology company that operates an online marketplace connecting consumers, travel suppliers and third‑party partners. The company's platform enables search, comparison and booking of travel products and services, including hotels, airline tickets, vacation rentals, car rentals, cruises and packaged travel. Its portfolio comprises consumer-facing travel brands as well as corporate travel solutions and technology services that serve both leisure and business travelers.

Key offerings include consumer booking platforms and mobile apps that aggregate inventory from hotels, vacation rental managers, airlines and car rental companies, alongside ancillary travel services such as trip insurance and activities.

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