TripAdvisor (NASDAQ:TRIP) Shares Gap Down After Earnings Miss

Shares of TripAdvisor, Inc. (NASDAQ:TRIP) gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $13.99, but opened at $10.94. TripAdvisor shares last traded at $11.3440, with a volume of 1,164,195 shares.

The travel company reported $0.35 EPS for the quarter, missing the consensus estimate of $0.38 by ($0.03). TripAdvisor had a return on equity of 5.73% and a net margin of 0.99%.The company had revenue of $385.30 million during the quarter, compared to the consensus estimate of $506.27 million. During the same period last year, the firm posted $0.46 earnings per share. The company’s revenue was down 7.2% compared to the same quarter last year.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the stock. Weiss Ratings reaffirmed a “sell (d)” rating on shares of TripAdvisor in a report on Friday, May 15th. UBS Group boosted their price objective on shares of TripAdvisor from $13.70 to $15.00 and gave the stock a “neutral” rating in a report on Thursday, July 30th. JPMorgan Chase & Co. lowered their price objective on TripAdvisor from $12.00 to $11.00 and set an “underweight” rating on the stock in a research report on Friday, May 8th. BTIG Research cut TripAdvisor from a “buy” rating to a “neutral” rating in a research note on Tuesday, July 21st. Finally, DA Davidson lifted their price objective on TripAdvisor from $10.50 to $15.50 and gave the stock a “neutral” rating in a report on Monday, June 15th. Four analysts have rated the stock with a Buy rating, seven have issued a Hold rating and five have given a Sell rating to the stock. According to data from MarketBeat.com, TripAdvisor presently has an average rating of “Reduce” and an average price target of $14.86.

Insider Activity

In other news, CEO Almir Ambeskovic sold 8,000 shares of the business’s stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $12.30, for a total transaction of $98,400.00. Following the completion of the sale, the chief executive officer owned 34,396 shares of the company’s stock, valued at $423,070.80. The trade was a 18.87% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.00% of the stock is currently owned by insiders.

Institutional Trading of TripAdvisor

Several hedge funds have recently bought and sold shares of the stock. UMB Bank n.a. raised its stake in shares of TripAdvisor by 295.2% in the fourth quarter. UMB Bank n.a. now owns 2,300 shares of the travel company’s stock worth $33,000 after buying an additional 1,718 shares during the period. Kestra Advisory Services LLC bought a new position in shares of TripAdvisor during the 4th quarter valued at approximately $33,000. Rockefeller Capital Management L.P. increased its holdings in TripAdvisor by 192.5% in the 4th quarter. Rockefeller Capital Management L.P. now owns 2,767 shares of the travel company’s stock worth $40,000 after acquiring an additional 1,821 shares in the last quarter. Tower Research Capital LLC TRC raised its stake in TripAdvisor by 308.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 4,077 shares of the travel company’s stock worth $53,000 after acquiring an additional 3,078 shares during the period. Finally, CIBC Private Wealth Group LLC purchased a new position in TripAdvisor during the third quarter valued at approximately $58,000. Institutional investors own 98.99% of the company’s stock.

TripAdvisor Price Performance

The firm has a market cap of $1.27 billion, a PE ratio of 109.79, a P/E/G ratio of 2.81 and a beta of 0.86. The firm’s fifty day simple moving average is $13.29 and its two-hundred day simple moving average is $11.74. The company has a quick ratio of 1.25, a current ratio of 1.25 and a debt-to-equity ratio of 1.36.

TripAdvisor Company Profile

TripAdvisor (NASDAQ:TRIP) is a leading online travel company that operates a digital platform for travel information, reviews and booking services. The company’s flagship website and mobile apps allow users to access and contribute travel-related content—ranging from hotel and restaurant reviews to ratings for tours, attractions and vacation rentals—helping consumers plan and book trips around the world.

The core of TripAdvisor’s offering is its community-driven review system, which aggregates user-generated feedback alongside editorial content and professional photography.