Expedia narrowed its first-quarter loss to $4.17 a share from $9.24 a share in the year-earlier quarter. Analysts surveyed by FactSet were looking for a loss of $2.90.
It reported a 44% decline in revenue to $1.25 billion as vacationers postponed their travel plans amid the COVID-19 pandemic. Nonetheless, Expedia topped the consensus analyst estimate of $1.11 billion.
"As the vaccine rollout continues, we expect to see a now familiar story play out: Domestic and leisure demand lead the recovery," Expedia Chief Executive Peter Kern said in a statement.
"However, as the dire situation in India reminds us, in some markets, things may get worse before they get better."
Expedia shares at last check were up 7.2% to $176.70. They've traded on Friday up as much as 9.2% at $180.05.
Here's what Wall Street is saying about the company's quarter:
Barclays affirmed an overweight rating on the stock while lifting its price target to $200 a share from $167.
The company's recovery is well ahead of schedule, and Expedia is now in a "great position," analyst Mario Lu said in a note.
Benchmark analysts have a buy rating on the stock and increased their price target to $215 from $175. They cited the company's domestic strength and share gains "in every major market along with health in traditional lodging."
Truist maintained a buy rating while increasing the price target to $240 from $237.
"We expect the U.S. momentum to continue to build with the onset of summer and expect Europe to follow a similar trajectory as vaccinations pick up," analysts Naved Khan and Youssef Squali wrote.
And Wedbush maintained its outperform rating and $190 price target