A flurry of company earnings led to big stock moves early Friday.
Expedia Group, Inc. (NASDAQ:EXPE ) Q2 2025 Earnings Conference Call August 7, 2025 4:30 PM ET Company Participants Ariane Gorin - CEO & Director Dan Semo - Corporate Participant SVP, Corporate Finance - Corporate Participant Scott F. Schenkel - Chief Financial Officer Conference Call Participants Conor T.
Expedia Group is embedding artificial intelligence (AI) across its business, using the technology to sharpen personalized travel recommendations, improve customer service and boost operational efficiency. “We're using AI everywhere,” CEO Ariane Gorin said during the company's second-quarter earnings call with analysts.
Although the revenue and EPS for Expedia (EXPE) give a sense of how its business performed in the quarter ended June 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Expedia (EXPE) came out with quarterly earnings of $4.24 per share, beating the Zacks Consensus Estimate of $4.14 per share. This compares to earnings of $3.51 per share a year ago.
EXPE eyes Q2 revenue growth despite U.S. softness, with B2B strength and cost cuts driving profit margin gains.
Get a deeper insight into the potential performance of Expedia (EXPE) for the quarter ended June 2025 by going beyond Wall Street's top-and-bottom-line estimates and examining the estimates for some of its key metrics.
Expedia (EXPE) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
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Expedia's now realized merchant model and tech stack consolidation from 20+ brands to 3 core platforms create operational leverage and higher take rates compared to pure-play agency competitors like Booking. Vrbo's temporary weakness during platform migration masks underlying supply growth and pent-up marketing spend, with conversion rates already recovering above pre-replatforming levels. My Variant View: One Key loyalty program's cross-platform redemption model reduces customer acquisition costs and creates stickier retention dynamics than competitor discount-based programs, driving sustainable margin expansion.
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I maintain a Strong Buy rating on Expedia Group, Inc. with a $400 YE26 price target, citing deep value and strong cash earnings growth. Expedia's shift toward the merchant model boosts margins and cash flow, despite higher business risk, while maintaining an asset-light structure. EXPE stock trades at a significant valuation discount to peers like Booking and Airbnb, despite comparable or superior growth prospects and robust free cash flow.