NEW YORK (TheStreet) -- Shares of TripAdvisor Inc. (TRIP) are plunging -10.21 to $96.40 in pre-market trading as the travel research company was downgraded to "hold" from "buy" at Cantor Fitzgerald today.
The firm cited the company's valuation following mixed second quarter results, reported after yesterday's close, as a reason for the cut in rating, but kept its price target of $94.
TripAdvisor posted second quarter non-GAAP net earnings of $81 million or 55 cents per diluted share, up 7% year-over-year, but missing analysts estimate of 61 cents per share.
The company reported revenue of $323 million, up 31% from $247 million in the same quarter in 2013, beating analysts consensus estimate of $321.8 million.
Separately, TheStreet Ratings team rates TRIPADVISOR INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate TRIPADVISOR INC (TRIP) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and growth in earnings per share. However, as a counter to these strengths, we find that the growth in the company's net income has been quite unimpressive."