Sign In  |  Register  |  About Corte Madera  |  Contact Us

Corte Madera, CA
September 01, 2020 10:27am
7-Day Forecast | Traffic
  • Search Hotels in Corte Madera

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Expedia vs. Travelzoo: Which Travel Stock is a Better Investment?

Travel stocks may be ready to rally especially as coronavirus case counts are dropping. Below, we shine the spotlight on two of the travel industry’s top stocks in Expedia (EXPE) and Travelzoo (TZOO).

Travel stocks have significantly weakened over the last few months as the most recent wave of the coronavirus depressed the outlook. However, there are some glimmers of hope as cases are sharply down in many of the hardest-hit states and on a national level as well.

 

If case counts continue to drop, then this could be a fantastic buy-the-dip opportunity for investors.

Below, we shine the spotlight on two of the travel industry’s top stocks in Expedia (EXPE) and Travelzoo (TZOO).

EXPE

EXPE is renowned for its online travel services. The company provides travel planning, experience sharing and most importantly, the opportunity to purchase travel arrangements with a few keystrokes and mouse clicks.

EXPE is priced near the halfway point between its 52-week low of $87.90 and its 52-week high of $187.93. Investors don't seem to have a strong feeling about this stock, largely because no one knows if the pandemic will worsen to the point that the masses fear air travel in those cramped cylindrical steel tube germ centers commonly referred to as airplanes.

EXPE has a beta of 1.71. This is a reasonable figure that indicates the stock will move with the market yet probably won't prove egregiously volatile.

Check out EXPE's POWR Rating performance and you will find it is a mixed bag. Overall, the stock has a C POWR Rating grade, meaning it is a Hold. EXPE has B grades in the Quality, Value and Growth components of the POWR Ratings. The stock has a F Sentiment component grade. Click here to find out how EXPE fares in the remainder of the POWR Ratings components including Momentum and Stability.

EXPE is ranked 10th out of the 75 stocks in the Internet segment. Investors are encouraged to study up on this industry by clicking here.

The analysts are pounding the table in favor of EXPE. If EXPE reaches the analysts' average target price of $180.50, it will have increased by slightly more than 21% in value. The stock's average analyst price target has increased $81.30 in the previous 45 weeks. A total of 32 analysts have provided EXPE recommendations. Out of these analysts, four consider the stock to be a Strong Buy, 10 consider it to be a Buy and 18 view it as a Hold.

TZOO

TZOO is a web media business focused on providing information to its paying subscribers and other online visitors. The company specializes in providing information pertaining to travel and entertainment.

TZOO is currently trading at $11.13. The stock's 52-week low is $6.07. TZOO's 52-week high is $19.83.

TZOO has a forward P/E ratio of 16.49, meaning the stock appeals to both value and growth investors, regardless of tolerance for risk. However, TZOO's beta of 2.06 is a bit high so there is a chance the stock will prove volatile.

TZOO has an A POWR Rating grade. This exemplary grade makes it clear the stock is a Strong Buy. TZOO has A grades in the POWR Rating components of Quality, Sentiment and Growth. Click here to learn more about TZOO's POWR Ratings grades including its performance in the Momentum, Value and Stability components.

Out of the 75 stocks that comprise the Internet category, TZOO is ranked above all of them. Click here to find out more about this industry.

The analysts are as bullish as can be about TZOO's future. If these experts are correct, the stock will hit their average target price of $23.67. A move to this level represents an 88.76% increase.

Which is the Better Investment?

Though EXPE is a barometer of the overarching travel industry, its merit pales in comparison to that of TZOO. TZOO’s A POWR Rating makes it the better investment. Roll with TZOO for now and continue to keep tabs on EXPE moving forward.


EXPE shares were unchanged in premarket trading Friday. Year-to-date, EXPE has gained 13.42%, versus a 19.95% rise in the benchmark S&P 500 index during the same period.



About the Author: Patrick Ryan

Patrick Ryan has more than a dozen years of investing experience with a focus on information technology, consumer and entertainment sectors. In addition to working for StockNews, Patrick has also written for Wealth Authority and Fallon Wealth Management.

More...

The post Expedia vs. Travelzoo: Which Travel Stock is a Better Investment? appeared first on StockNews.com
Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 CorteMadera.com & California Media Partners, LLC. All rights reserved.