The pullback in Expedia Group (EXPE) appears to be overkill.
At the moment, the stock is down about $24 a share. All after the company said it lost 47 cents a share on $2.25 billion in revenue. Analysts were looking for a loss of 62 cents on $2.23 billion in revenue, which isn’t terrible at all. Better, CEO Peter Kern told analysts the company was “feeling very good about a summer recovery.”
Most of that is great news, and doesn’t warrant a pullback like this, we believe.
Sure, “Results were below our expectations given the impact of Omicron, as well as geopolitical uncertainty,” Credit Suisse analysts said, as quoted by CNBC.
But not all analysts are bearish on the stock.
Analysts at DA Davidson just raised its target price to $195 from $167. Benchmark raised its target to $275 from $265. Deutsche Bank raised its target to $235 from $218. Mizuho raised its from $155 to $172. Barclays raised its from $226 to $229.
In short, weakness may be an opportunity in EXPE.
