EXPEDIA GROUP INC (EXPE) Stock Fundamental Analysis
USA - NASDAQ:EXPE - US30212P3038 - Common Stock
222.87 USD
+7.68 (+3.57%)
221.325 USD
-1.55 (-0.69%)
Overall EXPE gets a fundamental rating of 5 out of 10. We evaluated EXPE against 135 industry peers in the Hotels, Restaurants & Leisure industry. While EXPE has a great profitability rating, there are some minor concerns on its financial health. EXPE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year EXPE was profitable.
In the past year EXPE had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: EXPE reported negative net income in multiple years.
Of the past 5 years EXPE 4 years had a positive operating cash flow.
1.2 Ratios
EXPE has a Return On Assets of 4.10%. This is in the better half of the industry: EXPE outperforms 60.74% of its industry peers.
With an excellent Return On Equity value of 132.42%, EXPE belongs to the best of the industry, outperforming 98.52% of the companies in the same industry.
With an excellent Return On Invested Capital value of 17.00%, EXPE belongs to the best of the industry, outperforming 85.93% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for EXPE is below the industry average of 15.67%.
The 3 year average ROIC (10.99%) for EXPE is below the current ROIC(17.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.1% | ||
| ROE | 132.42% | ||
| ROIC | 17% |
ROA(3y)3.61%
ROA(5y)-0.96%
ROE(3y)48.88%
ROE(5y)5.49%
ROIC(3y)10.99%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of EXPE (7.90%) is better than 66.67% of its industry peers.
EXPE's Profit Margin has improved in the last couple of years.
EXPE has a better Operating Margin (12.15%) than 65.19% of its industry peers.
In the last couple of years the Operating Margin of EXPE has grown nicely.
EXPE's Gross Margin of 89.58% is amongst the best of the industry. EXPE outperforms 97.78% of its industry peers.
EXPE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.15% | ||
| PM (TTM) | 7.9% | ||
| GM | 89.58% |
OM growth 3Y58.59%
OM growth 5Y8.82%
PM growth 3YN/A
PM growth 5Y14%
GM growth 3Y2.82%
GM growth 5Y1.74%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EXPE is creating value.
EXPE has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, EXPE has less shares outstanding
EXPE has a better debt/assets ratio than last year.
2.2 Solvency
EXPE has an Altman-Z score of 1.18. This is a bad value and indicates that EXPE is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of EXPE (1.18) is worse than 62.22% of its industry peers.
The Debt to FCF ratio of EXPE is 3.11, which is a good value as it means it would take EXPE, 3.11 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of EXPE (3.11) is better than 80.74% of its industry peers.
A Debt/Equity ratio of 5.34 is on the high side and indicates that EXPE has dependencies on debt financing.
With a Debt to Equity ratio value of 5.34, EXPE is not doing good in the industry: 61.48% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.34 | ||
| Debt/FCF | 3.11 | ||
| Altman-Z | 1.18 |
ROIC/WACC2.03
WACC8.38%
2.3 Liquidity
A Current Ratio of 0.75 indicates that EXPE may have some problems paying its short term obligations.
EXPE has a Current ratio of 0.75. This is comparable to the rest of the industry: EXPE outperforms 40.74% of its industry peers.
EXPE has a Quick Ratio of 0.75. This is a bad value and indicates that EXPE is not financially healthy enough and could expect problems in meeting its short term obligations.
EXPE's Quick ratio of 0.75 is in line compared to the rest of the industry. EXPE outperforms 45.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
EXPE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.29%, which is quite impressive.
EXPE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.87% yearly.
The Revenue has been growing slightly by 5.69% in the past year.
EXPE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.56% yearly.
EPS 1Y (TTM)21.29%
EPS 3Y104.08%
EPS 5Y14.87%
EPS Q2Q%20.8%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y16.77%
Revenue growth 5Y2.56%
Sales Q2Q%6.41%
3.2 Future
Based on estimates for the next years, EXPE will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.50% on average per year.
EXPE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.25% yearly.
EPS Next Y15.66%
EPS Next 2Y17.97%
EPS Next 3Y17.69%
EPS Next 5Y15.5%
Revenue Next Year5.46%
Revenue Next 2Y5.98%
Revenue Next 3Y6.57%
Revenue Next 5Y6.25%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.94, the valuation of EXPE can be described as correct.
75.56% of the companies in the same industry are more expensive than EXPE, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.32, EXPE is valued a bit cheaper.
A Price/Forward Earnings ratio of 13.08 indicates a correct valuation of EXPE.
Based on the Price/Forward Earnings ratio, EXPE is valued a bit cheaper than 80.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.89, EXPE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.94 | ||
| Fwd PE | 13.08 |
4.2 Price Multiples
63.70% of the companies in the same industry are more expensive than EXPE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, EXPE is valued cheaply inside the industry as 85.93% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.81 | ||
| EV/EBITDA | 10.42 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
EXPE has a very decent profitability rating, which may justify a higher PE ratio.
EXPE's earnings are expected to grow with 17.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.08
PEG (5Y)1.14
EPS Next 2Y17.97%
EPS Next 3Y17.69%
5. Dividend
5.1 Amount
With a yearly dividend of 0.73%, EXPE is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.80, EXPE pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.73, EXPE pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.73% |
5.2 History
EXPE has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y17.97%
EPS Next 3Y17.69%
222.87
+7.68 (+3.57%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners102.64%
Inst Owner Change-1.57%
Ins Owners0.51%
Ins Owner Change0.25%
Market Cap27.57B
Analysts72.56
Price Target227.5 (2.08%)
Short Float %5.78%
Short Ratio4.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.73% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.21%
Min EPS beat(2)1.46%
Max EPS beat(2)20.96%
EPS beat(4)3
Avg EPS beat(4)9.14%
Min EPS beat(4)-0.95%
Max EPS beat(4)20.96%
EPS beat(8)7
Avg EPS beat(8)30.51%
EPS beat(12)8
Avg EPS beat(12)-12.48%
EPS beat(16)12
Avg EPS beat(16)3.75%
Revenue beat(2)1
Avg Revenue beat(2)-1.36%
Min Revenue beat(2)-2.83%
Max Revenue beat(2)0.11%
Revenue beat(4)2
Avg Revenue beat(4)-1.07%
Min Revenue beat(4)-3.22%
Max Revenue beat(4)1.66%
Revenue beat(8)3
Avg Revenue beat(8)-0.81%
Revenue beat(12)3
Avg Revenue beat(12)-1.4%
Revenue beat(16)5
Avg Revenue beat(16)-0.63%
PT rev (1m)0.34%
PT rev (3m)18.42%
EPS NQ rev (1m)-1.47%
EPS NQ rev (3m)0.5%
EPS NY rev (1m)-2.02%
EPS NY rev (3m)-1.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.94 | ||
| Fwd PE | 13.08 | ||
| P/S | 1.97 | ||
| P/FCF | 13.81 | ||
| P/OCF | 9.93 | ||
| P/B | 32.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.42 |
EPS(TTM)13.16
EY5.9%
EPS(NY)17.04
Fwd EY7.64%
FCF(TTM)16.14
FCFY7.24%
OCF(TTM)22.45
OCFY10.07%
SpS113.3
BVpS6.76
TBVpS-55.12
PEG (NY)1.08
PEG (5Y)1.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.1% | ||
| ROE | 132.42% | ||
| ROCE | 23.13% | ||
| ROIC | 17% | ||
| ROICexc | 181.1% | ||
| ROICexgc | N/A | ||
| OM | 12.15% | ||
| PM (TTM) | 7.9% | ||
| GM | 89.58% | ||
| FCFM | 14.25% |
ROA(3y)3.61%
ROA(5y)-0.96%
ROE(3y)48.88%
ROE(5y)5.49%
ROIC(3y)10.99%
ROIC(5y)N/A
ROICexc(3y)20.29%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)14.96%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y125.83%
ROICexc growth 5Y22.57%
OM growth 3Y58.59%
OM growth 5Y8.82%
PM growth 3YN/A
PM growth 5Y14%
GM growth 3Y2.82%
GM growth 5Y1.74%
F-Score8
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.34 | ||
| Debt/FCF | 3.11 | ||
| Debt/EBITDA | 1.74 | ||
| Cap/Depr | 90.29% | ||
| Cap/Sales | 5.57% | ||
| Interest Coverage | 7.92 | ||
| Cash Conversion | 108.18% | ||
| Profit Quality | 180.4% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 1.18 |
F-Score8
WACC8.38%
ROIC/WACC2.03
Cap/Depr(3y)92.88%
Cap/Depr(5y)87.19%
Cap/Sales(3y)5.93%
Cap/Sales(5y)8.19%
Profit Quality(3y)403.1%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.29%
EPS 3Y104.08%
EPS 5Y14.87%
EPS Q2Q%20.8%
EPS Next Y15.66%
EPS Next 2Y17.97%
EPS Next 3Y17.69%
EPS Next 5Y15.5%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y16.77%
Revenue growth 5Y2.56%
Sales Q2Q%6.41%
Revenue Next Year5.46%
Revenue Next 2Y5.98%
Revenue Next 3Y6.57%
Revenue Next 5Y6.25%
EBIT growth 1Y7.31%
EBIT growth 3Y85.19%
EBIT growth 5Y11.61%
EBIT Next Year138.56%
EBIT Next 3Y42.43%
EBIT Next 5Y27.05%
FCF growth 1Y-13.96%
FCF growth 3Y-8.85%
FCF growth 5Y7.7%
OCF growth 1Y-11.08%
OCF growth 3Y-6.28%
OCF growth 5Y2.2%