TripAdvisor (NASDAQ:TRIP) Releases Quarterly Earnings Results, Misses Expectations By $0.08 EPS

TripAdvisor (NASDAQ:TRIP) issued its quarterly earnings data on Thursday. The travel company reported ($0.11) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.03) by ($0.08), FiscalAI reports. TripAdvisor had a return on equity of 5.73% and a net margin of 0.99%.The business had revenue of $382.40 million for the quarter, compared to analysts’ expectations of $384.69 million. During the same period last year, the business earned $0.14 earnings per share. The company’s revenue for the quarter was down 4.0% on a year-over-year basis.

Here are the key takeaways from TripAdvisor’s conference call:

• TripAdvisor is seeing tangible traction in its experiences strategy — unified marketing, product changes and supply onboarding drove >20% conversion growth on TripAdvisor POS and Viator growth exceeded 20% in Jan–Feb, with AI partnerships beginning to drive high‑intent traffic.
• Late‑Feb macro/geopolitical shocks (notably the Middle East conflict plus Mexico and Hawaii disruptions) caused a spike in cancellations and an estimated ~3‑4 point headwind to Q1 growth, and management now guides Q2 consolidated revenue down mid‑single digits amid ongoing uncertainty.
• TheFork outperformed with Q1 revenue up 23% (11% constant currency) and ~8% EBITDA margin, strong B2B growth, and management is exploring strategic alternatives for TheFork that could unlock shareholder value.
• Q1 consolidated revenue was $382M (‑4%) with adjusted EBITDA $22M; operating and free cash flow were strong, the company repaid $345M of convertible notes leaving roughly $369M excess cash (ex deferred payables), and the full‑year outlook was adjusted to reflect first‑half headwinds with an expected re‑acceleration in H2.

TripAdvisor Trading Down 6.9%

Shares of TRIP stock traded down $0.78 during mid-day trading on Friday, reaching $10.45. The company’s stock had a trading volume of 3,530,244 shares, compared to its average volume of 2,771,335. The company has a quick ratio of 1.29, a current ratio of 1.25 and a debt-to-equity ratio of 1.36. The firm has a market capitalization of $1.20 billion, a PE ratio of 104.51, a price-to-earnings-growth ratio of 1.89 and a beta of 0.91. The company’s 50 day simple moving average is $10.51 and its 200-day simple moving average is $12.86. TripAdvisor has a 12-month low of $9.01 and a 12-month high of $20.16.

TripAdvisor News Summary

Here are the key news stories impacting TripAdvisor this week:

• Negative Sentiment: TripAdvisor reported a Q1 loss of $0.11 per share, wider than the expected loss of $0.03, while revenue of $382.4 million also came in slightly below estimates. The miss reinforces worries about near-term execution and demand softness. Article Title
• Negative Sentiment: Zacks said the quarter was hurt by macro disruptions, cancellations, and weaker hotel revenues, which widened losses and suggests pressure may continue if travel conditions remain choppy. Article Title
• Negative Sentiment: JPMorgan lowered its price target on TripAdvisor to $11 from $12 and kept an underweight rating, signaling continued skepticism about the stock’s upside despite the new target still implying modest gains from current levels. Article Title
• Neutral Sentiment: BTIG Research reaffirmed its buy rating and raised its target to $15, which shows some analysts still see meaningful upside if TripAdvisor can stabilize results. Article Title
• Neutral Sentiment: TripAdvisor also said it has made progress on selling TheFork and is exploring LLM data deals, which could be strategically positive over time but is not yet a direct catalyst. Article Title

Analyst Ratings Changes

A number of equities research analysts have commented on TRIP shares. DA Davidson lowered their target price on TripAdvisor from $16.25 to $11.00 and set a “neutral” rating on the stock in a report on Tuesday, February 17th. B. Riley Financial decreased their price objective on TripAdvisor from $18.00 to $13.00 and set a “neutral” rating on the stock in a research note on Wednesday, February 18th. Bank of America upgraded TripAdvisor from a “neutral” rating to a “buy” rating and lifted their price objective for the stock from $14.00 to $15.00 in a research report on Friday, March 27th. Barclays reduced their target price on shares of TripAdvisor from $13.00 to $10.00 and set an “underweight” rating on the stock in a report on Friday, February 13th. Finally, Zacks Research cut shares of TripAdvisor from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, February 18th. Four research analysts have rated the stock with a Buy rating, seven have given a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $14.37.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Northwestern Mutual Wealth Management Co. boosted its position in shares of TripAdvisor by 13.0% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 9,812 shares of the travel company’s stock worth $143,000 after buying an additional 1,126 shares during the period. Creative Planning raised its holdings in shares of TripAdvisor by 6.2% during the 3rd quarter. Creative Planning now owns 28,408 shares of the travel company’s stock valued at $462,000 after buying an additional 1,669 shares during the period. Empowered Funds LLC lifted its position in TripAdvisor by 14.2% during the 1st quarter. Empowered Funds LLC now owns 13,475 shares of the travel company’s stock worth $191,000 after acquiring an additional 1,676 shares in the last quarter. UMB Bank n.a. lifted its position in TripAdvisor by 295.2% during the 4th quarter. UMB Bank n.a. now owns 2,300 shares of the travel company’s stock worth $33,000 after acquiring an additional 1,718 shares in the last quarter. Finally, Kestra Advisory Services LLC purchased a new position in TripAdvisor in the 4th quarter worth approximately $33,000. 98.99% of the stock is owned by hedge funds and other institutional investors.

TripAdvisor Company Profile

TripAdvisor (NASDAQ:TRIP) is a leading online travel company that operates a digital platform for travel information, reviews and booking services. The company’s flagship website and mobile apps allow users to access and contribute travel-related content—ranging from hotel and restaurant reviews to ratings for tours, attractions and vacation rentals—helping consumers plan and book trips around the world.

The core of TripAdvisor’s offering is its community-driven review system, which aggregates user-generated feedback alongside editorial content and professional photography.