EXPE Stock Analysis — Expedia Group
Sector: Online Travel
AI Verdict
Expedia trades at a low 13.8x forward earnings for high expected growth, making it cheap for the growth on offer if its network effects and data advantages keep delivering.
Competitive Moat
Expedia operates a global travel booking platform with entrenched supplier relationships and a multi-brand portfolio (including Vrbo and Hotels.com) that creates network effects and customer stickiness. Its scale allows for data-driven pricing and marketing that smaller rivals struggle to match.
Summary
Expedia's forward P/E of 13.8x with 34.9% expected EPS growth puts it in value territory if those earnings materialize.
Where It Stands
Expedia is up 38.66% over the past year, trades at 13.8x forward earnings (well below the 20x sector median for consumer internet), and its RSI of 37.9 signals shares are cooling off after recent gains.
Key Metrics
- RSI: 37.9 — Near Oversold
- Trailing P/E: 18.6x
- Forward P/E: 13.8x
- PEG Ratio: 0.53
- Earnings Growth: +0.3%
- Revenue Growth: +0.1%
- Market Cap: $35.8B
- 1-Year Return: 38.66%
- 52-Week High: $342.00
- 52-Week Low: $185.34
Analyst Consensus
21 Buy · 24 Hold · 0 Sell (45 analysts)
Bull Case
You're paying just 13.8x next year's earnings for 34.9% forecasted EPS growth, which is cheap for the growth on offer if Expedia's platform moat holds.
Bear Case
If the P/E multiple reverts to the 12x level typical of value stocks, that's a potential 13% downside from the current forward P/E of 13.8x even before considering any earnings miss.
Catalyst to Watch
Watch for quarterly earnings beats or misses, as upside or downside to the 34.9% EPS growth target will likely drive the next move.