Priceline.com Inc. (PCLN): Today's Featured Leisure Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Priceline.com ( PCLN) pushed the Leisure industry lower today making it today's featured Leisure laggard. The industry as a whole closed the day down 0.2%. By the end of trading, Priceline.com fell $15.48 (-2.5%) to $602.41 on average volume. Throughout the day, 1.3 million shares of Priceline.com exchanged hands as compared to its average daily volume of 1.1 million shares. The stock ranged in price between $599.71-$619.31 after having opened the day at $619.31 as compared to the previous trading day's close of $617.89. Other companies within the Leisure industry that declined today were: PokerTek ( PTEK), down 6.7%, Pizza Inn Holdings ( PZZI), down 5.2%, Famous Dave's of America ( DAVE), down 5.1%, and Cosi ( COSI), down 3.7%.
  • ACTIVE STOCK TRADERS: Get full access to Jim Cramer's thoughts for less than $3/week - sometimes before he says them on TV! Start with a 14-Day Free Trial.

priceline.com Incorporated, together with its subsidiaries, operates as an online travel company. Priceline.com has a market cap of $31.44 billion and is part of the services sector. The company has a P/E ratio of 26.3, equal to the average leisure industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 32.1% year to date as of the close of trading on Tuesday. Currently there are 14 analysts that rate Priceline.com a buy, no analysts rate it a sell, and four rate it a hold.

TheStreet Ratings rates Priceline.com as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, robust revenue growth and notable return on equity. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the leisure industry could consider PowerShares Dynamic Leisure&Entert ( PEJ) while those bearish on the leisure industry could consider ProShares Ultra Sht Consumer Services ( SCC).

FREE from Real Money's Jim Cramer: Winners and Losers Election 2012 - Steps to take NOW so you can profit no matter who is in charge! Free download now.
null

If you liked this article you might like

Stormy Skies Make for Good Travel Buys

Stormy Skies Make for Good Travel Buys

Travel Stocks Face a Rough Journey

Debt Ceiling Progress Boosts Stocks, but Hurricane Irma Rains on Major Rally

Stocks Gain After Trump Agrees With Democrats on Debt Ceiling Deal