TripAdvisor (TRIP) vs. Its Competitors Head-To-Head Survey

TripAdvisor (NASDAQ: TRIP) is one of 11 public companies in the “Travel Agents” industry, but how does it compare to its competitors? We will compare TripAdvisor to related companies based on the strength of its institutional ownership, valuation, dividends, earnings, analyst recommendations, profitability and risk.

Valuation & Earnings



This table compares TripAdvisor and its competitors gross revenue, earnings per share (EPS) and valuation.

Gross Revenue NetIncome Price/Earnings Ratio
TripAdvisor $1.48 billion $120.00 million 66.36
TripAdvisor Competitors $3.50 billion $239.18 million 13.55

TripAdvisor’s competitors have higher revenue and earnings than TripAdvisor. TripAdvisor is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for TripAdvisor and its competitors, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
TripAdvisor 6 17 0 0 1.74
TripAdvisor Competitors 86 642 965 43 2.56

TripAdvisor presently has a consensus price target of $40.06, indicating a potential upside of 28.43%. As a group, “Travel Agents” companies have a potential upside of 20.65%. Given TripAdvisor’s higher possible upside, equities research analysts plainly believe TripAdvisor is more favorable than its competitors.

Institutional & Insider Ownership

87.6% of TripAdvisor shares are held by institutional investors. Comparatively, 75.4% of shares of all “Travel Agents” companies are held by institutional investors. 1.1% of TripAdvisor shares are held by company insiders. Comparatively, 14.5% of shares of all “Travel Agents” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares TripAdvisor and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
TripAdvisor 4.26% 6.81% 4.13%
TripAdvisor Competitors -18.33% -5,188.00% -11.47%

Risk & Volatility

TripAdvisor has a beta of 2.33, indicating that its stock price is 133% more volatile than the S&P 500. Comparatively, TripAdvisor’s competitors have a beta of 1.21, indicating that their average stock price is 21% more volatile than the S&P 500.

Summary

TripAdvisor beats its competitors on 7 of the 13 factors compared.

TripAdvisor Company Profile

TripAdvisor, Inc. owns and operates a portfolio of online travel brands. TripAdvisor, the Company’s brand, is a travel site. The Company operates through two segments: Hotel and Non-Hotel. The Company’s Hotel segment includes click-based advertising and transaction; display-based and subscription-based advertising, and other hotel operations. The Non-Hotel segment includes Attractions, Restaurants and Vacation Rentals businesses. The Company’s platform also enables users to compare real-time pricing and availability for these experiences, as well as to book hotels, flights, cruises, vacation rentals, tours, activities and attractions, and restaurants, on either a TripAdvisor site or application, or a travel partner site or application. As of December 31, 2016, the Company’s TripAdvisor-branded Websites included tripadvisor.com in the United States and localized versions of the TripAdvisor Website in 48 markets and 28 languages around the world.

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