7 Travel Stocks to Buy as Summer Kicks Into High Gear - 2 of 7

#2 - Expedia (NASDAQ:EXPE)

If you’ve done any television viewing (streaming or otherwise), then you know the battle of online travel companies is in full swing. Two of the top publicly traded news are Expedia (NASDAQ: EXPE) and Booking Holdings (NASDAQ: BKNG). For now, I’m giving the nod to EXPE stock, and here’s why.

To steal from what I just wrote about LUV stock, it’s all about the location. Expedia generates the majority of its business in the United States. For Booking Holdings that comes primarily from Europe. Prior to the pandemic, this was widely seen as an advantage for BKNG stock. But, for now, the tables have turned. This should allow Expedia to close what has been a large gap in profit margin between the two firms.

By the looks of it, the institutional investors are coming to a similar conclusion. A record number of hedge funds have taken bullish positions on EXPE stock. At the end of the first quarter, the stock was in 86 hedge fund portfolios; the previous high was 76.

About Expedia Group

Expedia Group, Inc operates as an online travel company in the United States and internationally. The company operates through B2C, B2B, and trivago segments. Its B2C segment includes Brand Expedia, a full-service online travel brand offers various travel products and services; Hotels.com for lodging accommodations; Vrbo, an online marketplace for the alternative accommodations; Orbitz, Travelocity, Wotif Group, ebookers, CheapTickets, Hotwire.com and CarRentals.com. Read More 

Current Price

$128.73

Consensus Rating

Hold

Ratings Breakdown

12 Buy Ratings, 13 Hold Ratings, 0 Sell Ratings.

Consensus Price Target

$149.12 (15.8% Upside)