Wall Street's Insights Into Key Metrics Ahead of Expedia (EXPE) Q3 Earnings
Wall Street analysts forecast that Expedia (EXPE) will report quarterly earnings of $8.77 per share in its upcoming release, pointing to a year-over-year increase of 15.9%. It is anticipated that revenues will amount to $4.73 billion, exhibiting an increase of 7.2% compared to the year-ago quarter.
The current level reflects an upward revision of 0.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company’s earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts’ projections for some of the company’s key metrics often helps gain a deeper insight.
Given this perspective, it’s time to examine the average forecasts of specific Expedia metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts’ assessment points toward ‘Revenue- B2C’ reaching $2.97 billion. The estimate points to a change of +3.2% from the year-ago quarter.
Analysts predict that the ‘Revenue- B2B’ will reach $1.60 billion. The estimate indicates a year-over-year change of +14.7%.
According to the collective judgment of analysts, ‘Revenue- Trivago’ should come in at $148.04 million. The estimate suggests a change of +8.1% year over year.
The collective assessment of analysts points to an estimated ‘Revenue- Expedia Group (excluding trivago)’ of $4.57 billion. The estimate indicates a year-over-year change of +6.9%.
Analysts expect ‘Gross bookings – Agency’ to come in at $12.51 billion. The estimate is in contrast to the year-ago figure of $11.88 billion.
Based on the collective assessment of analysts, ‘Gross bookings – Total’ should arrive at $32.72 billion. The estimate compares to the year-ago value of $30.73 billion.
Analysts forecast ‘Gross bookings – Merchant’ to reach $20.21 billion. The estimate compares to the year-ago value of $18.85 billion.
It is projected by analysts that the ‘Stayed Room Night /Booked room nights Growth’ will reach 3.8%. The estimate compares to the year-ago value of 11.0%.
The consensus among analysts is that ‘Gross bookings by product – Non-lodging’ will reach $8.49 billion. Compared to the present estimate, the company reported $8.02 billion in the same quarter last year.
The average prediction of analysts places ‘Gross bookings by product – Lodging’ at $24.28 billion. The estimate compares to the year-ago value of $22.71 billion.
The combined assessment of analysts suggests that ‘Stayed room nights/ Booked room nights’ will likely reach 112 . Compared to the present estimate, the company reported 108 in the same quarter last year.
The consensus estimate for ‘Units Sold – Booked air tickets’ stands at 14 . Compared to the present estimate, the company reported 14 in the same quarter last year.
View all Key Company Metrics for Expedia here>>>
Over the past month, shares of Expedia have returned +7.6% versus the Zacks S&P 500 composite’s +0.7% change. Currently, EXPE carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here >>>> .
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This article originally published on Zacks Investment Research (zacks.com).