NEW YORK (TheStreet) -- Shares of Priceline Group (PCLN), and Expedia (EXPE) are trading higher after Piper Jaffray (PJC) said its analysis of travel industry data indicates a "material improvement" in U.S. industry trends in the second quarter through May.
Shares of Priceline are up 1.11% to $1,202.48, and shares of Expedia are up 3.23% to $76.99 in pre-market trading on Tuesday.
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Piper reiterates an "overweight" rating on Priceline, and says it is "increasingly constructive" on Expedia which is rated "neutral."
TheStreet Ratings team rates PRICELINE GROUP INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate PRICELINE GROUP INC (PCLN) a BUY. This is driven by some important positives, 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, solid stock price performance, impressive record of earnings per share growth and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow."
Highlights from the analysis by TheStreet Ratings Team goes as follows: