TripAdvisor (NASDAQ:TRIP) Hits New 52-Week Low Following Weak Earnings

Shares of TripAdvisor, Inc. (NASDAQ:TRIP) hit a new 52-week low during mid-day trading on Thursday following a dissappointing earnings announcement. The stock traded as low as $8.01 and last traded at $8.3340, with a volume of 1,853,795 shares changing hands. The stock had previously closed at $10.20.

The travel company reported $0.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.43 by ($0.06). The firm had revenue of $436.40 million during the quarter, compared to analysts’ expectations of $447.39 million. TripAdvisor had a net margin of 0.28% and a return on equity of 4.23%. TripAdvisor’s revenue was down 11.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.58 EPS.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on TRIP shares. The Goldman Sachs Group restated a “buy” rating and set a $16.00 price target on shares of TripAdvisor in a report on Monday, July 20th. Weiss Ratings reiterated a “sell (d)” rating on shares of TripAdvisor in a research report on Wednesday, August 12th. BTIG Research cut TripAdvisor from a “buy” rating to a “neutral” rating in a research note on Tuesday, July 21st. Cantor Fitzgerald reduced their target price on TripAdvisor from $9.00 to $8.00 and set an “underweight” rating on the stock in a research note on Monday, October 19th. Finally, B. Riley Financial decreased their target price on TripAdvisor from $13.00 to $12.50 and set a “neutral” rating for the company in a report on Monday, August 10th. Four investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and five have given a Sell rating to the company. According to MarketBeat.com, TripAdvisor has an average rating of “Reduce” and an average price target of $13.88.

Insider Buying and Selling at TripAdvisor

In related news, CEO Almir Ambeskovic sold 8,000 shares of the business’s stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $9.45, for a total transaction of $75,600.00. Following the transaction, the chief executive officer owned 30,456 shares in the company, valued at $287,809.20. The trade was a 20.80% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 2.00% of the company’s stock.

Hedge Funds Weigh In On TripAdvisor

A number of institutional investors have recently bought and sold shares of the stock. Ballast Asset Management LP boosted its position in TripAdvisor by 69.0% during the 3rd quarter. Ballast Asset Management LP now owns 307,025 shares of the travel company’s stock valued at $2,570,000 after acquiring an additional 125,380 shares in the last quarter. Hennessy Advisors Inc. grew its holdings in shares of TripAdvisor by 108.9% during the 3rd quarter. Hennessy Advisors Inc. now owns 23,062 shares of the travel company’s stock worth $193,000 after acquiring an additional 12,021 shares during the period. Verdence Capital Advisors LLC grew its holdings in shares of TripAdvisor by 73.5% during the 3rd quarter. Verdence Capital Advisors LLC now owns 58,634 shares of the travel company’s stock worth $491,000 after acquiring an additional 24,836 shares during the period. Wedbush Securities Inc. bought a new position in shares of TripAdvisor in the 3rd quarter worth approximately $86,000. Finally, Sterling Capital Management LLC raised its position in shares of TripAdvisor by 128.4% in the 3rd quarter. Sterling Capital Management LLC now owns 3,026 shares of the travel company’s stock worth $25,000 after acquiring an additional 1,701 shares in the last quarter. 98.99% of the stock is owned by institutional investors.

TripAdvisor Price Performance

The stock has a market cap of $947.56 million, a P/E ratio of 805.21, a price-to-earnings-growth ratio of 3.80 and a beta of 0.87. The company has a debt-to-equity ratio of 1.28, a quick ratio of 1.56 and a current ratio of 1.56. The firm has a 50-day moving average price of $9.05 and a 200-day moving average price of $10.97.

About TripAdvisor

Tripadvisor, Inc (NASDAQ: TRIP) operates a global travel guidance and experiences platform. Its flagship Tripadvisor brand provides user-generated reviews, ratings, photos and travel information covering hotels, restaurants, attractions and destinations, helping travelers research and plan trips.

The company also operates Viator, an online marketplace for tours, activities and other travel experiences, and TheFork, a digital restaurant reservation platform serving diners and restaurants.