Intrinsic value of Expedia Group - EXPE

Previous Close

$119.75

  Intrinsic Value

$313.11

stock screener

  Rating & Target

str. buy

+161%

Previous close

$119.75

 
Intrinsic value

$313.11

 
Up/down potential

+161%

 
Rating

str. buy

We calculate the intrinsic value of EXPE stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 0001), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 16.4

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
   2
   3
   4
   5
   6
   7
   8
   9
   10
   11
   12
   13
   14
   15
   16
   17
   18
   19
   20
   21
   22
   23
   24
   25
   26
   27
   28
   29
   30
   31

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  11.40
  10.76
  10.18
  9.67
  9.20
  8.78
  8.40
  8.06
  7.75
  7.48
  7.23
  7.01
  6.81
  6.63
  6.46
  6.32
  6.19
  6.07
  5.96
  5.86
  5.78
  5.70
  5.63
  5.57
  5.51
  5.46
  5.41
  5.37
  5.33
  5.30
Revenue, $m
  11,207
  12,413
  13,677
  14,999
  16,378
  17,816
  19,313
  20,870
  22,488
  24,170
  25,918
  27,734
  29,622
  31,586
  33,627
  35,752
  37,963
  40,267
  42,667
  45,169
  47,779
  50,502
  53,346
  56,316
  59,419
  62,663
  66,055
  69,604
  73,317
  77,204
Variable operating expenses, $m
  9,663
  10,590
  11,561
  12,576
  13,636
  14,741
  15,891
  17,087
  18,330
  19,622
  19,911
  21,307
  22,757
  24,265
  25,834
  27,466
  29,165
  30,935
  32,779
  34,701
  36,706
  38,798
  40,983
  43,264
  45,648
  48,141
  50,747
  53,473
  56,326
  59,312
Fixed operating expenses, $m
  683
  698
  713
  729
  745
  761
  778
  795
  813
  830
  849
  867
  886
  906
  926
  946
  967
  988
  1,010
  1,032
  1,055
  1,078
  1,102
  1,126
  1,151
  1,176
  1,202
  1,229
  1,256
  1,283
Total operating expenses, $m
  10,346
  11,288
  12,274
  13,305
  14,381
  15,502
  16,669
  17,882
  19,143
  20,452
  20,760
  22,174
  23,643
  25,171
  26,760
  28,412
  30,132
  31,923
  33,789
  35,733
  37,761
  39,876
  42,085
  44,390
  46,799
  49,317
  51,949
  54,702
  57,582
  60,595
Operating income, $m
  861
  1,125
  1,403
  1,693
  1,997
  2,314
  2,644
  2,988
  3,345
  3,717
  5,158
  5,560
  5,979
  6,414
  6,867
  7,339
  7,831
  8,344
  8,878
  9,436
  10,018
  10,626
  11,261
  11,925
  12,620
  13,346
  14,106
  14,902
  15,736
  16,609
EBITDA, $m
  2,473
  2,798
  3,138
  3,495
  3,867
  4,256
  4,661
  5,082
  5,520
  5,976
  6,450
  6,943
  7,455
  7,989
  8,544
  9,122
  9,724
  10,351
  11,005
  11,687
  12,400
  13,143
  13,920
  14,733
  15,582
  16,470
  17,399
  18,372
  19,391
  20,458
Interest expense (income), $m
  154
  229
  316
  407
  502
  601
  705
  813
  926
  1,043
  1,165
  1,291
  1,422
  1,559
  1,701
  1,848
  2,002
  2,162
  2,328
  2,501
  2,682
  2,870
  3,066
  3,271
  3,484
  3,708
  3,941
  4,185
  4,440
  4,707
  4,986
Earnings before tax, $m
  631
  809
  996
  1,191
  1,396
  1,609
  1,831
  2,062
  2,303
  2,553
  3,867
  4,138
  4,420
  4,713
  5,019
  5,337
  5,669
  6,016
  6,377
  6,754
  7,148
  7,560
  7,990
  8,441
  8,912
  9,405
  9,921
  10,462
  11,029
  11,623
Tax expense, $m
  170
  218
  269
  322
  377
  434
  494
  557
  622
  689
  1,044
  1,117
  1,193
  1,273
  1,355
  1,441
  1,531
  1,624
  1,722
  1,824
  1,930
  2,041
  2,157
  2,279
  2,406
  2,539
  2,679
  2,825
  2,978
  3,138
Net income, $m
  461
  590
  727
  870
  1,019
  1,174
  1,337
  1,505
  1,681
  1,864
  2,823
  3,021
  3,226
  3,441
  3,664
  3,896
  4,139
  4,391
  4,655
  4,931
  5,218
  5,519
  5,833
  6,162
  6,506
  6,866
  7,243
  7,637
  8,051
  8,485

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  20,638
  22,859
  25,187
  27,622
  30,162
  32,811
  35,567
  38,434
  41,415
  44,512
  47,731
  51,076
  54,553
  58,169
  61,929
  65,841
  69,914
  74,156
  78,576
  83,184
  87,991
  93,006
  98,243
  103,712
  109,427
  115,401
  121,649
  128,184
  135,022
  142,181
Adjusted assets (=assets-cash), $m
  20,638
  22,859
  25,187
  27,622
  30,162
  32,811
  35,567
  38,434
  41,415
  44,512
  47,731
  51,076
  54,553
  58,169
  61,929
  65,841
  69,914
  74,156
  78,576
  83,184
  87,991
  93,006
  98,243
  103,712
  109,427
  115,401
  121,649
  128,184
  135,022
  142,181
Revenue / Adjusted assets
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
  0.543
Average production assets, $m
  7,486
  8,292
  9,136
  10,019
  10,941
  11,901
  12,901
  13,941
  15,022
  16,146
  17,313
  18,527
  19,788
  21,099
  22,463
  23,882
  25,359
  26,898
  28,501
  30,173
  31,916
  33,736
  35,635
  37,619
  39,692
  41,859
  44,125
  46,495
  48,976
  51,572
Working capital, $m
  -5,816
  -6,442
  -7,098
  -7,784
  -8,500
  -9,247
  -10,023
  -10,831
  -11,671
  -12,544
  -13,451
  -14,394
  -15,374
  -16,393
  -17,453
  -18,555
  -19,703
  -20,898
  -22,144
  -23,443
  -24,797
  -26,211
  -27,686
  -29,228
  -30,838
  -32,522
  -34,283
  -36,124
  -38,052
  -40,069
Total debt, $m
  5,859
  7,537
  9,297
  11,138
  13,059
  15,061
  17,145
  19,312
  21,565
  23,907
  26,341
  28,870
  31,498
  34,231
  37,074
  40,032
  43,111
  46,318
  49,659
  53,143
  56,777
  60,569
  64,528
  68,662
  72,983
  77,499
  82,222
  87,163
  92,333
  97,744
Total liabilities, $m
  15,603
  17,281
  19,041
  20,882
  22,803
  24,805
  26,889
  29,056
  31,309
  33,651
  36,085
  38,614
  41,242
  43,975
  46,818
  49,776
  52,855
  56,062
  59,403
  62,887
  66,521
  70,313
  74,272
  78,406
  82,727
  87,243
  91,966
  96,907
  102,077
  107,488
Total equity, $m
  5,036
  5,578
  6,146
  6,740
  7,360
  8,006
  8,678
  9,378
  10,105
  10,861
  11,646
  12,463
  13,311
  14,193
  15,111
  16,065
  17,059
  18,094
  19,173
  20,297
  21,470
  22,694
  23,971
  25,306
  26,700
  28,158
  29,682
  31,277
  32,945
  34,692
Total liabilities and equity, $m
  20,639
  22,859
  25,187
  27,622
  30,163
  32,811
  35,567
  38,434
  41,414
  44,512
  47,731
  51,077
  54,553
  58,168
  61,929
  65,841
  69,914
  74,156
  78,576
  83,184
  87,991
  93,007
  98,243
  103,712
  109,427
  115,401
  121,648
  128,184
  135,022
  142,180
Debt-to-equity ratio
  1.160
  1.350
  1.510
  1.650
  1.770
  1.880
  1.980
  2.060
  2.130
  2.200
  2.260
  2.320
  2.370
  2.410
  2.450
  2.490
  2.530
  2.560
  2.590
  2.620
  2.640
  2.670
  2.690
  2.710
  2.730
  2.750
  2.770
  2.790
  2.800
  2.820
Adjusted equity ratio
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244
  0.244

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  461
  590
  727
  870
  1,019
  1,174
  1,337
  1,505
  1,681
  1,864
  2,823
  3,021
  3,226
  3,441
  3,664
  3,896
  4,139
  4,391
  4,655
  4,931
  5,218
  5,519
  5,833
  6,162
  6,506
  6,866
  7,243
  7,637
  8,051
  8,485
Depreciation, amort., depletion, $m
  1,612
  1,673
  1,736
  1,801
  1,870
  1,942
  2,017
  2,094
  2,175
  2,259
  1,292
  1,383
  1,477
  1,575
  1,676
  1,782
  1,892
  2,007
  2,127
  2,252
  2,382
  2,518
  2,659
  2,807
  2,962
  3,124
  3,293
  3,470
  3,655
  3,849
Funds from operations, $m
  2,073
  2,263
  2,462
  2,671
  2,889
  3,116
  3,353
  3,599
  3,856
  4,122
  4,115
  4,403
  4,703
  5,015
  5,340
  5,679
  6,031
  6,399
  6,782
  7,182
  7,600
  8,036
  8,492
  8,969
  9,468
  9,989
  10,536
  11,107
  11,706
  12,334
Change in working capital, $m
  -595
  -626
  -656
  -686
  -716
  -746
  -777
  -808
  -840
  -873
  -907
  -943
  -980
  -1,019
  -1,060
  -1,103
  -1,148
  -1,195
  -1,246
  -1,299
  -1,355
  -1,414
  -1,476
  -1,541
  -1,611
  -1,684
  -1,761
  -1,842
  -1,927
  -2,017
Cash from operations, $m
  2,668
  2,889
  3,119
  3,357
  3,605
  3,863
  4,130
  4,407
  4,696
  4,995
  5,022
  5,346
  5,683
  6,034
  6,400
  6,781
  7,179
  7,594
  8,028
  8,481
  8,955
  9,450
  9,968
  10,510
  11,078
  11,673
  12,296
  12,949
  13,633
  14,351
Maintenance CAPEX, $m
  -501
  -559
  -619
  -682
  -748
  -816
  -888
  -963
  -1,040
  -1,121
  -1,205
  -1,292
  -1,383
  -1,477
  -1,575
  -1,676
  -1,782
  -1,892
  -2,007
  -2,127
  -2,252
  -2,382
  -2,518
  -2,659
  -2,807
  -2,962
  -3,124
  -3,293
  -3,470
  -3,655
New CAPEX, $m
  -769
  -805
  -844
  -883
  -922
  -960
  -1,000
  -1,040
  -1,081
  -1,124
  -1,168
  -1,213
  -1,261
  -1,311
  -1,364
  -1,419
  -1,477
  -1,539
  -1,603
  -1,671
  -1,743
  -1,819
  -1,899
  -1,984
  -2,073
  -2,167
  -2,266
  -2,370
  -2,481
  -2,596
Cash from investing activities, $m
  -1,270
  -1,364
  -1,463
  -1,565
  -1,670
  -1,776
  -1,888
  -2,003
  -2,121
  -2,245
  -2,373
  -2,505
  -2,644
  -2,788
  -2,939
  -3,095
  -3,259
  -3,431
  -3,610
  -3,798
  -3,995
  -4,201
  -4,417
  -4,643
  -4,880
  -5,129
  -5,390
  -5,663
  -5,951
  -6,251
Free cash flow, $m
  1,398
  1,525
  1,655
  1,792
  1,936
  2,086
  2,242
  2,405
  2,574
  2,751
  2,650
  2,841
  3,039
  3,246
  3,461
  3,686
  3,919
  4,163
  4,417
  4,682
  4,959
  5,249
  5,551
  5,867
  6,198
  6,544
  6,906
  7,286
  7,683
  8,099
Issuance/(repayment) of debt, $m
  1,610
  1,679
  1,760
  1,840
  1,921
  2,002
  2,084
  2,168
  2,253
  2,342
  2,434
  2,529
  2,629
  2,733
  2,843
  2,958
  3,079
  3,207
  3,342
  3,484
  3,634
  3,792
  3,959
  4,135
  4,321
  4,516
  4,723
  4,941
  5,170
  5,412
Issuance/(repurchase) of shares, $m
  52
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from financing (excl. dividends), $m  
  1,662
  1,679
  1,760
  1,840
  1,921
  2,002
  2,084
  2,168
  2,253
  2,342
  2,434
  2,529
  2,629
  2,733
  2,843
  2,958
  3,079
  3,207
  3,342
  3,484
  3,634
  3,792
  3,959
  4,135
  4,321
  4,516
  4,723
  4,941
  5,170
  5,412
Total cash flow (excl. dividends), $m
  3,059
  3,203
  3,415
  3,633
  3,857
  4,088
  4,326
  4,572
  4,827
  5,092
  5,083
  5,369
  5,668
  5,979
  6,304
  6,643
  6,998
  7,370
  7,759
  8,166
  8,593
  9,041
  9,510
  10,002
  10,519
  11,060
  11,629
  12,226
  12,853
  13,511
Retained Cash Flow (-), $m
  -513
  -542
  -568
  -594
  -620
  -646
  -673
  -700
  -727
  -756
  -785
  -816
  -848
  -882
  -917
  -955
  -994
  -1,035
  -1,079
  -1,124
  -1,173
  -1,224
  -1,278
  -1,335
  -1,394
  -1,458
  -1,524
  -1,595
  -1,669
  -1,747
Prev. year cash balance distribution, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
  2,547
  2,662
  2,847
  3,039
  3,237
  3,441
  3,653
  3,873
  4,100
  4,337
  4,298
  4,553
  4,819
  5,097
  5,387
  5,689
  6,005
  6,335
  6,680
  7,042
  7,420
  7,817
  8,232
  8,668
  9,124
  9,603
  10,105
  10,632
  11,184
  11,764
Discount rate, %
  4.30
  4.52
  4.74
  4.98
  5.23
  5.49
  5.76
  6.05
  6.35
  6.67
  7.00
  7.35
  7.72
  8.11
  8.51
  8.94
  9.39
  9.86
  10.35
  10.87
  11.41
  11.98
  12.58
  13.21
  13.87
  14.56
  15.29
  16.05
  16.86
  17.70
PV of cash for distribution, $m
  2,442
  2,437
  2,478
  2,502
  2,509
  2,498
  2,468
  2,420
  2,355
  2,273
  2,041
  1,943
  1,832
  1,711
  1,581
  1,446
  1,307
  1,167
  1,029
  895
  768
  649
  540
  441
  355
  280
  217
  164
  122
  89
Current shareholders' claim on cash, %
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7
  99.7

Expedia, Inc. is an online travel company. The Company operates through four segments: Core Online Travel Agencies (Core OTA), trivago, Egencia and HomeAway. The Company's Core OTA segment provides a range of travel and advertising services to its customers across the world, through a range of brands, including Expedia.com and Hotels.com in the United States, and localized Expedia and Hotels.com Websites throughout the world, Orbitz.com, Expedia Affiliate Network, Hotwire.com, Travelocity, Wotif Group, CarRentals.com and Classic Vacations. The Company's trivago segment sends referrals to online travel companies and travel service providers from its hotel metasearch Websites. Its Egencia segment, which also includes Orbitz Worldwide (Orbitz) for Business, provides managed travel services to corporate customers across the world. The Company's HomeAway segment operates an online marketplace for the vacation rental industry.

FINANCIAL RATIOS  of  Expedia Group (EXPE)

Valuation Ratios
P/E Ratio 63.7
Price to Sales 2
Price to Book 4.3
Price to Tangible Book
Price to Cash Flow 11.5
Price to Free Cash Flow 22
Growth Rates
Sales Growth Rate 31.5%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -4.8%
Cap. Spend. - 3 Yr. Gr. Rate 19.4%
Financial Strength
Quick Ratio NaN
Current Ratio 0
LT Debt to Equity 76.5%
Total Debt to Equity 76.5%
Interest Coverage 3
Management Effectiveness
Return On Assets 2.7%
Ret/ On Assets - 3 Yr. Avg. 5.1%
Return On Total Capital 3.7%
Ret/ On T. Cap. - 3 Yr. Avg. 9.5%
Return On Equity 6.3%
Return On Equity - 3 Yr. Avg. 16.5%
Asset Turnover 0.6
Profitability Ratios
Gross Margin 81.8%
Gross Margin - 3 Yr. Avg. 80.6%
EBITDA Margin 14%
EBITDA Margin - 3 Yr. Avg. 17.5%
Operating Margin 5.1%
Oper. Margin - 3 Yr. Avg. 9.3%
Pre-Tax Margin 3.2%
Pre-Tax Margin - 3 Yr. Avg. 8.4%
Net Profit Margin 3.2%
Net Profit Margin - 3 Yr. Avg. 7.2%
Effective Tax Rate 5.8%
Eff/ Tax Rate - 3 Yr. Avg. 15.8%
Payout Ratio 53.2%

EXPE stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the EXPE stock intrinsic value calculation we used $10059.844 million for the last fiscal year's total revenue generated by Expedia Group. The default revenue input number comes from 0001 income statement of Expedia Group. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our EXPE stock valuation model: a) initial revenue growth rate of 11.4% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 4.3%, whose default value for EXPE is calculated based on our internal credit rating of Expedia Group, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of Expedia Group.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of EXPE stock the variable cost ratio is equal to 87.3%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $668 million in the base year in the intrinsic value calculation for EXPE stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 5.4% for Expedia Group.

Corporate tax rate of 27% is the nominal tax rate for Expedia Group. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the EXPE stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for EXPE are equal to 66.8%.

Life of production assets of 13.4 years is the average useful life of capital assets used in Expedia Group operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for EXPE is equal to -51.9%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $4523 million for Expedia Group - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 137.348 million for Expedia Group is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of Expedia Group at the current share price and the inputted number of shares is $16.4 billion.

RELATED COMPANIES Price Int.Val. Rating
CTRP Ctrip.com Inte 26.32 196.05  str.buy
TRIP TripAdvisor 63.20 22.31  str.sell
TZOO Travelzoo 9.09 26.70  str.buy
SABR Sabre 24.79 28.00  hold
LTRPA Liberty TripAd 18.52 31.02  str.buy

COMPANY NEWS

▶ Travel app raises $3 million to plan your trips for you   [Nov-16-18 11:12AM  Yahoo Finance]
▶ TripAdvisor Stock Jumps As Third-Quarter Earnings Crush Estimates   [Nov-08-18 04:06PM  Investor's Business Daily]
▶ Booking Holdings Jumps Midday; Leads TripAdvisor Up   [Nov-06-18 01:40PM  Investing.com]
▶ Trivago Seeks to Lower Ad Spending as Sales Drop   [04:10AM  The Wall Street Journal]
▶ [$$] Expedia Buys Pillow and ApartmentJet   [06:07PM  The Wall Street Journal]
▶ Expedia: 3Q Earnings Snapshot   [04:46PM  Associated Press]
▶ Expedia profit rises 49 pct   [04:12PM  Reuters]
▶ Expedia's Q3 Earnings Preview   [08:29AM  Benzinga]
▶ RBC Capital: 5 Tech Stocks to Buy Before Earnings   [Oct-22-18 01:29PM  Kiplinger]
▶ Points International Poised for 72% Reward   [Oct-16-18 04:31PM  Barrons.com]
▶ Expedia Launches First Action for the Google Assistant   [Oct-09-18 11:20AM  PR Newswire]
▶ WEX Stock Still Has Room to Grow   [Oct-08-18 02:24PM  InvestorPlace]
▶ Tampa Bay hits a new record for tourism revenue   [Oct-05-18 06:41AM  American City Business Journals]
▶ Online Travel Agencies Roll Out the Rewards   [Oct-04-18 10:34AM  Kiplinger]
▶ Expedia exec who was set to head up HQ move takes job at Uber   [Oct-03-18 02:29PM  American City Business Journals]
▶ Amazon, Boeing, Starbucks among clients of Washington's top-paid lobbying firms   [Oct-01-18 01:43PM  American City Business Journals]
▶ Best Day of the Week to Book a Flight, According to Experts   [Sep-25-18 12:11PM  TheStreet.com]
▶ Pinellas partners with TripAdvisor, Expedia to collect tourist taxes   [Sep-19-18 02:40PM  American City Business Journals]
▶ Expedia of Latin America Could Jump 140%   [Sep-12-18 04:21PM  Barrons.com]
▶ Uber rolls out safety features for drivers, passengers   [Sep-05-18 02:56PM  Associated Press]
▶ Filing reveals Expedia's team for Seattle headquarters project   [Aug-29-18 05:38PM  American City Business Journals]
▶ Amazon snags lease for all of Expedia's Bellevue tower   [Aug-21-18 11:59AM  American City Business Journals]
▶ 3 Largest Public Travel Companies By Market Share   [Aug-16-18 11:20AM  Benzinga]
▶ Labor Day Weekend Getaways to Fit Any Budget   [Aug-14-18 10:40AM  PR Newswire]
▶ The Story of Uber   [Aug-09-18 09:57AM  Investopedia]
▶ Cramer reviews Expedia's breakout quarter   [06:57PM  CNBC Videos]
▶ Expedia's breakout quarter   [06:50PM  CNBC Videos]
▶ Nordstrom names Expedia and RealNetworks veteran to top tech job   [01:59PM  American City Business Journals]
▶ The Headwind Isnt a Cyclical One for TRIP Stock   [Aug-04-18 09:31PM  InvestorPlace]
▶ GRPN Stock Whiffs on Q2 Earnings and Revenue Expectations   [Aug-03-18 12:27PM  InvestorPlace]

CONTACT US       ASSET ALLOCATION

About X-FIN       Site news       Privacy policy       Terms of use       FAQ

Copyright © X-FIN.com 2005-2018. All rigths reserved.