TripAdvisor (TRIP) Stock Plunges on Earnings Miss
NEW YORK (TheStreet) -- TripAdvisor (TRIP) - Get Report stock is retreating 9.97% to $74.82 in mid-morning trading on Friday after the company reported lower than expected financial results for the third quarter of 2015.
The travel review website reported earnings of 53 cents per share on $415 million in revenue for the quarter ended September 30.
Analysts surveyed by Thomson Reuters had estimated earnings of 55 cents per share on $430.22 million in revenue.
The website reached 350 million average monthly unique visitors, a 23% year-over-year increase.
Additionally, TripAdvisor was downgraded to "perform" from "outperform" at Oppenheimer, which removed its price target on the stock.
"In the short term, we are increasingly concerned that modestly softer hotel shopper trends, particularly against more challenging comparisons, and near-term monetization drag from 'Instant Booking,' will cap multiple expansion," Oppenheimer said in an analysts note.
Separately, TheStreet Ratings team rates TRIPADVISOR INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
We rate TRIPADVISOR INC (TRIP) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, good cash flow from operations and notable return on equity. We feel its strengths outweigh the fact that the company has had sub par growth in net income.
You can view the full analysis from the report here: TRIP
data by
Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of Jim Cramer, TheStreet or any of its contributors.