This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Priceline Seeks to Drive Growth With New Luxury Car-Rental Service

Stocks in this article: PCLN OPEN

NEW YORK (TheStreet) -- Investors who are interested in Priceline (PCLN)PCLN are probably focused on the company's announcement last month that it has agreed to acquire OpenTable (OPEN)OPEN, an online restaurant reservation service, for $2.6 billion.

They may be overlooking Priceline's rapidly growing car-rental business.

Late last month, Priceline launched a luxury- and specialty-car-rental service called Fun Rides, which could be a big boost for the company. Priceline is offering luxury cars such as BMWs, Mercedes Benzes and Cadillacs as well as specialty cars such as the Mini Cooper and the Toyota (TM)TM Prius.

Nike's Long-Term Goals Are Better Than Anything Kicked in World Cup

GM, the Teflon Company Run by a Safety-Loving Mom

How This Unloved Bull Markets Continues to Smash Records

Car rentals are a fast-growing part of Priceline's business. First-quarter unit sales, as measured by the number of car rental days, rose 24.6% from a year earlier. That follows a strong year in 2013, when quarterly unit sales growth ranged from 27.5% in the third quarter to 46.3% in the second quarter.

With Fun Rides, which will have Priceline's name-your-own-price model, Priceline is hoping to tap into a large pool of unsatisfied car-rental customers. A company survey found that 51% of Americans are disappointed in their rental car while on vacation.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs