The analysts wrote, “We are lowering our HomeAway estimates for FX and the potential for macro softness overseas. Europe accounted for 35% of HomeAway’s revenue in 1Q12, 2/3 of which we estimate was denominated in the Euro (primarily Germany and France)and 1/3 in the Pound. When guiding for 2Q, the company used a Euro exchange rate of $1.31, which is below the QTD average of ~$1.29 and the current rate of $1.25. We now project 2Q revenue of $70.3M and EBITDA of $18.5M, vs. our prior estimates of $70.9M and $18.7M, respectively.”
HomeAway traded up 5.93% on Wednesday, hitting $22.50. HomeAway has a 52-week low of $19.77 and a 52-week high of $45.75. The company’s market cap is $1.849 billion.
Other equities research analysts have also recently issued reports about the stock. Analysts at Barclays Capital (NYSE: BCS) reiterated an “equal weight” rating on shares of HomeAway in a research note to investors on Monday, April 23rd. They now have a $25.00 price target on the stock, down previously from $35.00. Separately, analysts at Susquehanna initiated coverage on shares of HomeAway in a research note to investors on Wednesday, March 28th. They set a “positive” rating on the stock. Finally, analysts at Bank of America (NYSE: BAC) initiated coverage on shares of HomeAway in a research note to investors on Monday, March 12nd. They set an “underperform” rating on the stock.
HomeAway, Inc. (HomeAway) is an early-stage company. HomeAway operates the online marketplace for the vacation rental industry.