Expedia stock price target raised to $265 from $215 at Benchmark

Published 08/08/2025, 16:22
Expedia stock price target raised to $265 from $215 at Benchmark

Investing.com - Benchmark raised its price target on Expedia (NASDAQ:EXPE) to $265.00 from $215.00 on Friday, while maintaining a Buy rating on the online travel agency’s stock. According to InvestingPro data, Expedia currently trades at a P/E ratio of 21.77, with analyst targets ranging from $160 to $290.

The price target increase follows Expedia’s recent earnings report, in which the company noted an uptick in overall travel demand since the beginning of July, particularly in the United States.

Based on this improved demand and solid first-half performance, Expedia raised its annual guidance, which now forecasts 3-5% growth in gross bookings and revenue, along with a 100 basis point improvement in margins.

The revised outlook represents a 1% increase in gross booking and revenue expectations, along with a 25 basis point increase in margin guidance compared to previous forecasts.

Benchmark’s new price target reflects a 9x EBITDA multiple applied to Expedia’s business, which the firm describes as being at the bottom of the range for travel industry valuations.

In other recent news, Expedia reported strong second-quarter 2025 results, surpassing analysts’ expectations. The company achieved an earnings per share of $4.24, beating the forecasted $3.96, and generated revenue of $3.79 billion, exceeding the anticipated $3.7 billion. Following these results, several financial firms adjusted their price targets for Expedia. RBC Capital increased its price target from $180 to $200, noting the results were slightly better than Street estimates. Piper Sandler raised its target from $135 to $190, acknowledging that bookings were 2% above expectations and revenues surpassed forecasts by 7%. UBS also increased its price target from $182 to $209, highlighting the company’s 7% year-over-year growth in room nights and strong international exposure. BofA Securities raised its target to $240 from $211, citing improved top-line growth prospects. These developments reflect a positive outlook on Expedia’s financial performance and future growth potential.

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