NEW YORK (TheStreet) -- Orbitz Worldwide (OWW) stock coverage was initiated by Guggenheim with a "neutral" rating. In Tuesday's morning trading session, shares of Orbitz Worldwide are down 0.22% to $11.56.
Earlier this month, the company reported a first quarter loss of $20.9 million, missing analysts' expectations.
The company reported a loss of 14 cent per share on revenue of $220 million. In the same quarter last year, the company reported a loss of 5 cents per share on revenue of $210 million.
It was expected to post a profit of 3 cents per share, according to analysts polled by Thomson Reuters.
While revenue increased from a year ago, it was due to a rise in customer service costs and fraudulent transactions, Reuters reported. The fraudulent transactions did not come from a data breach, but from the illegal use of credit card information obtained elsewhere, according to Orbitz Worldwide.
TheStreet Ratings team rates ORBITZ WORLDWIDE INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate ORBITZ WORLDWIDE INC (OWW) 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 revenue growth, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity."