|Bid||83.57 x 1300|
|Ask||84.07 x 800|
|Day's range||80.05 - 84.09|
|52-week range||40.76 - 144.00|
|Beta (5Y monthly)||1.58|
|PE ratio (TTM)||N/A|
|Earnings date||23 Jul 2020 - 27 Jul 2020|
|Forward dividend & yield||N/A (N/A)|
|Ex-dividend date||09 Mar 2020|
|1y target est||95.96|
Shares of Expedia (NASDAQ: EXPE) fell 24% during the first half of 2020, according to data from S&P Global Market Intelligence. The online travel agent felt the brunt of the COVID-19 pandemic, which basically brought the travel industry to a screeching halt in late March. While that might seem like a dire decline, Expedia had been down nearly 60% on the year at one point, and has actually rebounded strongly since.
(Bloomberg) -- Traveloka, Southeast Asia’s biggest online travel startup, is close to raising fresh funds at a private-market valuation of about $2.75 billion -- roughly 17% less than its most recent fundraising, according to people familiar with the matter.The Jakarta-based firm is in advanced negotiations with new strategic investors such as Siam Commercial Bank Pcl and Richard Li’s FWD Group Ltd., as well as existing backers GIC Pte. and East Ventures to secure about $250 million, the people said, asking not to be named because the discussions are private. The primary fundraising will be at a $2.75 billion valuation, while a secondary sale will be at $2.4 billion, one of the people said. Traveloka counts online travel site Expedia Group Inc. and JD.com Inc. among its existing backers.Terms of the fundraising could still change, they said. A Traveloka representative declined to comment.Traveloka, which has had its business hammered by the coronavirus fallout, is one of the first unicorns in Southeast Asia to experience a down-round -- raising funds at a lower valuation than the previous funding round. It reflects the sharp drop in business after lockdown orders halted flights and travel. Since the outbreak, the company has cut an unspecified number of positions, including about 80 jobs in Singapore in April.The travel industry is witnessing a sharp decline in business since the spread of the coronavirus. Expedia saw its total gross booking fall 39% in the first quarter, while its share price has dropped 21% this year. Vacation-rental startup Airbnb Inc. cut 25% of its workforce and raised an additional $2 billion in debt to help weather the downturn.Despite the slump, some Traveloka investors are betting on the travel industry’s eventual recovery, led by a rebound in tourism within countries, and a series of cost-cutting measures at the company, one of the people said. In Vietnam -- a model case in containing the pandemic with fewer than 400 cases and no deaths -- domestic travel has restarted.With a population of 570 million and growing middle class, Southeast Asia’s six largest economies are expected to see their online travel market more than double from $34 billion in 2019 to $78 billion in 2025, according to the most recent report by Google, Temasek and Bain released in October.Read more: Southeast Asia’s No. 1 Travel App Jumps on Fintech BandwagonSince its inception in 2012, Traveloka’s valuation climbed to $3.3 billion, according to the people. It has expanded across Southeast Asia, making it easier for consumers to book flights and hotels across countries. Like other startups in the region, Traveloka followed a popular playbook of providing multiple products and extending into financial services to complement its travel, accommodation and lifestyle offerings.Traveloka Chief Executive Officer Ferry Unardi said in an interview at the New Economy Forum in Beijing in November that the company is considering an initial public offering in Indonesia and in the U.S. in two to three years.Traveloka Looking to Grow Into Lifestyle, Financial Services: CEO (Video)(Adds forecast of Southeast Asia’s digital market in the seventh paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The first half of 2020 was a momentous time for the travel and leisure industry -- but not in a good way. In order to stave off bankruptcy, many in the travel and leisure industry have issued new high-priced debt, low-priced stock, or both, buying themselves time before the industry returns to health. With many "stay-at-home" stocks booming, the travel industry is still in the doldrums, with the stocks of many leading players far below their pre-pandemic highs.
(Bloomberg) -- Airbnb Inc. has settled a major lawsuit against New York City and agreed to hand over personal data on its hosts, helping officials track down those who rent their homes in violation of city regulations.The agreement announced Friday could cost Airbnb tens of thousands of listings in the Big Apple, but it also gets the home-share startup closer to its ultimate goal -- clarifying its legal status in one of the San Francisco-based company’s biggest domestic markets.“We hope that our willingness to be transparent enables the State and the City to feel reassured that short-term rentals can be effectively regulated without blunt prohibitions,” Airbnb co-founder Nathan Blecharczyk said in a message to hosts. “Now more than ever, regular New Yorkers should have the ability to occasionally share their home, activity that we believe should not be confused with illegal hotels.”New York City officials have estimated that as many as 35,000 of Airbnb’s current listings break local laws that ban entire apartments from being rented for fewer than 30 days without a tenant present. Legal short-term rentals are limited to one- and two-family homes and spare bedrooms in the city. The company has long fought against disclosing its host data to the city, leaving officials to weed out illegal listings through old-fashioned detective work like analyzing photos online.In July 2018, the city passed a law that would force vacation-rental companies to share data about their hosts on a monthly basis, making it easier for the city to spot and fine violators.Airbnb and Expedia Group Inc.’s HomeAway, sued the city a month later, claiming the new ordinance violated privacy laws. Judge Paul Engelmayer issued a preliminary injunction banning the ordinance from taking effect until the case was resolved.Coming to terms in private settlement talks, Airbnb agreed to share information with the city on a quarterly basis, rather than monthly. The company will hand over the physical address of the listing, plus the host’s name, address, phone number and email, along with data on whether or not the listing is for an entire unit or part of a unit, the total number of days booked and amount of money received by the host. Airbnb will be required to hand over data that applies only to hosts who rent out their entire homes for five or more nights a quarter.“With this agreement, the city will have a powerful tool to detect those who hide behind fake accounts and address those who take housing away from New Yorkers,” said Christian Klossner, executive director of the Mayor’s Office of Special Enforcement, which is tasked with policing short-term rentals. “We will be able to better protect our communities and visitors, and more fully understand the impacts of the illegal short-term rental market.”Airbnb’s dispute with New York was long seen as an obstacle to a successful public offering. The company had originally planned to list shares this year, though the global travel market rout brought about by the Covid-19 pandemic has called that timeline into question. However, Chief Executive Officer Brian Chesky said last week that given the recent surge in demand for vacation rentals, a 2020 public listing hasn’t been ruled out.(Corrects to remove reference to HomeAway as part of settlement agreement.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
After an awful Thursday, shares of online travel giant Expedia Group (NASDAQ: EXPE) rallied to close nearly 6.2% higher the following day. A new, optimistic report on the travel industry could very well have been the catalyst for Friday's improvement. Utilizing search data for the period of mid-April to early June culled from Expedia, consumer insight consultancy BVA BDRC found that U.S. consumers have increased their intent to travel during the summer months.
(Bloomberg) -- Antsy city dwellers seeking to escape their Covid-19 refuges are road-tripping to nearby vacation rentals in surprisingly strong numbers, showing the first signs of life for an industry that essentially ground to a halt in March.“People, after having been stuck in their homes for a few months, do want to get out of their houses; that’s really, really clear,” Airbnb Inc. Chief Executive Officer Brian Chesky said in an interview. “But they don’t necessarily want to get on an airplane and are not yet comfortable leaving their countries.”Airbnb saw more nights booked for U.S. listings between May 17 and June 3 than the same period in 2019, and a similar boost in domestic travel globally. The San Francisco-based home-share company is seeing an increase in demand for domestic bookings in countries from Germany to Portugal, South Korea, New Zealand and more. Other companies, including Expedia Group Inc.’s Vrbo and Booking Holdings Inc. are also seeing a jump in domestic vacation-rental reservations.U.S. searches for Vrbo are now up compared to this time last year, according to a note by Cowen & Co. analyst Kevin Kopelman on Monday, and Airbnb queries are down only around 10%. However, hotels and the wider Expedia brand have yet to get any summer relief with searches still down more than 60%.International sojourns usually planned months in advance are being replaced with impulsive road trips booked a day before and weekend getaways are turning into weeks-long respites, Chesky said. Previously, a New Yorker might have headed to Paris for a week in June. Now they are going to the Catskills for a month. “Work from home is becoming working from any home,” he said.Still, any rebound is coming from a very low base. The travel sector was gutted by the Covid-19 pandemic. Online travel agencies struggled to withstand unprecedented cancellations and air travel passenger traffic that fell 95%. Airbnb and Tripadvisor Inc. cut a quarter of their workforces and Chesky said last month that he expects revenue this year to be half of 2019’s level. Booking was forced to apply for government aid. In an annual shareholder report last week, Booking CEO Glenn Fogel said the pandemic would impact global travel more than the 9/11 terrorist attacks, the SARS epidemic and the 2008 financial crisis combined.But months of pent-up demand is leading to a rush of summer reservations. Airbnb has more listings today than it did before the crisis, according to Chesky. The top destinations in the U.S. on Airbnb are almost exclusively traditional vacation rental markets such as Big Bear Lake in southern California, the Smoky Mountains, along the Tennessee-North Carolina border, and Port Aransas in Texas, according to the company.The unexpected speed of the comeback has kept Airbnb’s plans for a 2020 public market debut afloat. Chesky had originally planned to file paperwork for an offering March 31, but was waylaid by the pandemic-related market turmoil that led to speculation the listing would be shelved until next year. However, Chesky says it’s still an option. “We’re not ruling out going public this year and we’re not committing to it,” he said. Airbnb was valued at $31 billion in its most recent private fund-raising round, though recent debt issuance to shore up its finances have significantly reduced that valuation.Since the pandemic began, the percentage of bookings on Airbnb within 200 miles (322 kilometers) -- a round trip travelers can typically complete on one tank of gas -- has grown from a third in February to more than 50% in May. Travel in a post-Covid world is shifting “from airplane to car, big city to small location, hotel to home,” Chesky said.Vrbo is seeing similar trends as popular tourist states like Florida and Maine reopen. There’s an “immediate pop” as soon as a destination opens, said Jeff Hurst, president of Vrbo, which accounts for about 20% of Expedia’s total revenue. “If you draw a 250- mile circle around any major metro -- every place where you see water in there or mountains or national parks, the homes around it are what’s starting to get booked up,” Hurst said.Hotels aren’t as prevalent in more rural locations. And even where they are, travelers are preferring to stay in vacation homes so they can cook in their own kitchens, control who comes and goes and avoid crowded common areas like lobbies, Hurst said. To help salvage the summer season, Airbnb and Vrbo have enforced confidence-boosting policies that include flexible cancellations and new standards for cleaning.“We have seen a faster recovery within alternative accommodations than in hotels,” Morgan Stanley analyst Brain Nowak wrote in a note last week. Shares in hotel companies such as Marriott International Inc., Hyatt Hotels Corp. and Hilton Worldwide Holdings Inc. have dropped by more than 20% this year, compared with Expedia and Booking, which have fallen as much as 14%.People are eager for open spaces like beach towns or mountain villages, which is sparking the vacation rental rebound, said Naved Khan, an analyst at Suntrust Robinson Humphrey Inc. “Little by little we are seeing it unfold before us as people are feeling bold enough to venture out and stay at another place for a couple of nights and most of the time these places are homes and villas.”Searches for vacation rentals on Google are about at the same level as last year, while hotel searches are down, said Booking Holdings Chief Marketing Officer Arjan Dijk. Consumer appetite has completely changed from a year ago, he said. Significantly more users are signing on to the company’s wish list function and indicating interest in domestic homes over international ones. In fact, the company has seen its business shift to more than 70% domestic travel from 45% the same period last year, he said.Demand for air travel is also showing some early signs of life after all but collapsing. Daily passenger numbers in the U.S. climbed to 391,882 on June 4, the highest since March 22, according to the Transportation Security Administration. But the average daily total over the past seven days was still 87% less than during the same period a year ago. American Airlines Group Inc. said it would boost July flights 74% compared with this month, though the number of flights in July will be about 40% of capacity a year earlier, compared with 30% in June, the airline said Thursday.“It’s going to be awhile before people start crossing borders, getting into planes or traveling for business,” Chesky said. The big question on his mind now, as he weighs taking his startup public, is whether the spike in recent bookings turns into a sustainable trend. “The long-term question is what does it look like in a year or five years and that’s really anyone’s guess,” he said. Chesky won’t be celebrating until the market stabilizes. “I had a rule that even in our darkest of hours I wouldn’t get too low because that’s just a moment in time,” he said. “And if I can’t get too low, then I can’t get too up.”(Updates with analyst note in fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Expedia (NASDAQ: EXPE) shareholders outperformed a rallying stock market last month. The travel giant's stock rose 12% in May compared to a 4.5% increase in the S&P 500, according to data provided by S&P Global Market Intelligence. As a leading travel-booking site, Expedia was among the hardest hit when the COVID-19 pandemic sent airline and hotel traffic plummeting in March.
Shares of Expedia Group (NASDAQ: EXPE) jumped as much as 6.6% in trading Wednesday, as travel data appeared to be indicating a rise in consumer activity. The market is up today, with the S&P 500 rising 1.3% as of 3 p.m. EDT today, so travel stocks like Expedia are following the broad trend moving stocks higher. The Transportation Security Administration (TSA) said that the number of travelers going through checkpoints hit 353,261 on Monday, the most since March 22, and more than triple the volume of April's lows.
(Bloomberg Opinion) -- In Whitstable, a British seaside town just over an hour’s drive from London, every day of the last two weeks has been like a busy summer weekend. Britons may be unable or unwilling to take international flights, but with the first easing of lockdown restrictions, they are more than happy to head to the beach to bask in the sun and eat fish and chips from the only restaurants open for now.Optimism that people everywhere will be eager to wander once travel restrictions end drove a rebound in airline and tour-operator stocks this week. But these hopes may be overdone. Lingering health-safety concerns and uncertainty about which borders will open mean many consumers on both sides of the Atlantic will stick close to home this summer.What’s more, they may favor a remote Airbnb rental instead of staying in a hotel, with the increased chances of running into other people in the lobby, elevator or restaurant. Globally, new bookings at Airbnb Inc. and Expedia Group Inc.’s Vrbo more than doubled from 916,000 in the week of April 5 to 2.08 million in the week of May 18, according to AirDNA, a short-term rental data provider.While the home-sharing site Airbnb has been hit hard by the travel trough, it said domestic bookings rose strongly in China, Korea, the Netherlands and Denmark in April, and they’ve increased significantly in Germany since the beginning of May. More telling, Chief Executive Officer Brian Chesky told the Associated Press that 30% of bookings are currently within a 50-mile radius of people’s own homes — basically the next town over — up from 13% before the novel coronavirus outbreak, a trend he attributes to people’s aversion to flying for now.Areas that tourists can drive to, and classic local vacation spots, such as the mountains, lakes and beaches, are proving resilient.Take Germany, a country known for exporting summer tourists. Short-term rentals in the North Sea coastal district of Nordfriesland, which includes the island of Sylt, enjoyed an almost 800% increase in bookings between March 22 and May 17, according to AirDNA. And it’s unlikely they’re coming from abroad — in general just 16% of visitors are from outside Germany. By contrast, Berlin, a popular destination for foreign visitors, has seen just a 71% increase.It’s a similar picture in the U.S, where rentals near beaches in Alabama, Texas, Georgia and the Carolinas are proving popular. By contrast, cities such as New York and San Francisco are recovering more slowly. In this Covid-19 crisis, home-rental sites tend to have an advantage. For example, the majority of Airbnb hosts are in less populated areas, while most hotel chains have a bigger presence in cities. Some of the lodging giants have also ventured into the holiday rental market. Four years ago, French hotel giant Accor SA acquired Onefinestay, an upmarket competitor to Airbnb. One potential drawback with private rentals during the pandemic is that guests have to trust hosts are cleaning and disinfecting well. Hotel groups including Accor, Marriott International Inc., Hilton Worldwide Holdings Inc. and InterContinental Hotels Group Plc have announced stringent hygiene standards.Airbnb has responded with its own guidelines developed with former U.S. Surgeon General Vivek Murthy, including advice on personal protective equipment and disinfectants. Hosts who sign up can leave their properties empty for just 24 hours between guests. Otherwise, they must respect a 72-hour “booking buffer.”For other people, getting away from home may mean taking their lodging with them. Provisional bookings at caravan and campsites in the U.K. look promising. In the U.S., there’s been a bump in demand for motor homes. Indeed, road trips may be one of the first holidays taken on both sides of the Atlantic.While all this pent-up demand is a good sign, it’s unlikely all the money usually spent on overseas travel will be recouped. Staycations aren’t really conducive to flagrant discretionary spending in normal times, but the coronavirus outbreak and lockdowns has brought job losses and economic hardship as well. That will eat into outlay. For a gauge of comparison, in 2017, the year after Britain voted to leave the European Union, the decline in the pound meant many people avoided international travel, but only 60% of what would have been spent abroad was redirected to the U.K., according to analysts at Bernstein.With this crisis, the effect could be even more extreme if shops have to restrict the number of patrons, local tourist attractions can’t open or people remain nervous about going to restaurants or bars even with all of the necessary social distancing measures in place.Indeed, although Whitstable Holiday Homes, an agency for 39 houses, is enjoying its usual high level of bookings for July and August, further out, customers are waiting. A crucial consideration will be whether the town’s vibrant eateries will be open alongside the fish-and-chip shops.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Travel stocks, including Expedia (NASDAQ: EXPE), Tripadvisor (NASDAQ: TRIP), Hyatt Hotels (NYSE: H), and Marriott International (NASDAQ: MAR), were climbing today on enthusiasm about a broader economic recovery and new entrants in the race toward a vaccine. At the same time, the S&P 500 was trading 1.7% higher.
Shares of Expedia (NASDAQ: EXPE) have declined today, down by 1% as of 12:20 p.m. EDT, after the online travel booking company reported first-quarter results. Gross bookings fell 39% to $17.9 billion due to the novel coronavirus pandemic. "Like all travel companies, Expedia Group suffered a major reduction in business since the onset of COVID-19," CEO Peter Kern said in a statement.
Stocks in the Nasdaq Composite (NASDAQINDEX: ^IXIC) were down slightly more than broader-based indexes, with the Composite dropping almost 1% shortly after 11:45 a.m. EDT. The Nasdaq 100 Index was similarly down by nearly 1%. Among notable stocks in the Nasdaq 100, Ross Stores (NASDAQ: ROST) saw a nice gain as investors hoped that the discount apparel retailer would be able to follow in the footsteps of one of its closest industry peers.
(Bloomberg) -- Expedia Group Inc. followed its peers in the online travel industry in witnessing a staggering decline in business since the spread of the coronavirus, with total gross bookings down 39% in the first quarter.The Seattle-based company reported total gross bookings of $17.89 billion, including a decline of as much as 90% in the second half of March as the pandemic took hold. Revenue fell 15% to $2.21 billion, its first quarterly drop in eight years. The adjusted loss before interest, taxes, depreciation and amortization was $76 million, or 1.83 a share, compared with a loss of 27 cents a year earlier. Analysts had projected a loss of $1.45 a share on $2.11 billion in sales.Chief Executive Officer Peter Kern said Expedia has seen cancellations stabilize and growth return in May as parts of the world emerge from pandemic lockdowns and people start to think about their summer holidays. One of the businesses leading the improvement is Vrbo, the company’s vacation rental unit that competes directly with Airbnb Inc.“We’ve seen a higher bounce back from Vrbo,” Kern said in an interview, including an uptick in demand from travelers renting a house within driving distance of their own homes rather than flying or booking a hotel.In March, Expedia withdrew its full-year forecast as stay-at-home orders began to halt flights and travel around the world. The company had already been struggling, cutting 3,000 jobs in February to simplify what had become a “bloated organization,” as it faced increasing pressure from Google in advertising and nimble startups such as Airbnb. As part of the company revamp, Kern, then vice chairman, took over as CEO in April. At the same time, Expedia announced it was raising $3.2 billion as the impact of the coronavirus began to weigh on the industry. In addition, the company made a “significant reduction” in costs for marketing and discretionary expenses and deferred certain capital expenditures, it said in the earnings report.“We already had pretty ambitious goals about how we would simplify and strengthen the business,” Kern said. “This creates an energy and an ambition that is hard to get when you are just in regular old fine times.” The pandemic crisis could help Expedia “turbo charge“ through some difficult changes, he said.Expedia’s shares gained about 3.7% in extended trading in New York after closing at $79.58. The stock has dropped 26% this year compared with an 8% decline of the S&P 500.As the pandemic raged in March, Expedia saw “unprecedented” cancellation volume and moved to build self-service options for customers to cancel lodging and air bookings without speaking to an agent. As a result, cancellation inquiries for air travel managed without an agent increased to more than 95% in April from 65% in February.“If there was an industry on the front lines bearing the full impact of coronavirus, I would say it’s travel,” said Naved Khan, an analyst at Suntrust Robinson Humphrey Inc. “It is one of the sectors that has been hurt the most and is likely to lag during the recovery because until there is a vaccine people will limit their travel activities.”Airbnb and TripAdvisor Inc. cut a quarter of their workforces and Booking Holdings Inc. has been forced to apply for government aid.Kern acknowledged his appointment as CEO came at a “messy time,” but said it has also provided a rare opportunity for sweeping action. “A lot of friends and business acquaintances have been like, ‘Wow, you really stepped into it in a very tough time,’” he said. “Not a lot of fun is being had, but on the other hand I see this as a crystallizing moment of change for this company.”(Updates with comments from CEO beginning in the third paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Expedia (EXPE) delivered earnings and revenue surprises of -47.58% and 4.26%, respectively, for the quarter ended March 2020. Do the numbers hold clues to what lies ahead for the stock?