Expedia Inc (NASDAQ:EXPE) reports a profit of $7.15 Million in Q2


Dallas, Texas 07/30/2013 (Financialstrend) – Last week Expedia Inc (NASDAQ:EXPE) announced its second quarter results where it reported a profit of $7.15 million or 51% far short from the estimation ad also a fall from $105.2 million, or 76 cents per share reported in the same period last year, the reason for short backs is considered to be due to poor performance, high competition in its discount website Hotwire.com and aggressively advertising by its competitor Priceline Com Inc (PCLN.O) for their brands. The company reported Selling and marketing expenses had a growth of 33% or 590.5 million due to the increased cost in its German travel site, revenue of the company grew $1.21 billion or 16%, earnings were 64% per share which is low from the estimated earnings of 79% by Thomson Reuters.

Expedia Inc also announced its quarterly dividend of $0.15 per share which is payable on September 18th, this shows a dividend yield of 0.92% and an annualized dividend of $0.60. Following the negative results of Expedia Inc its shares were downgraded, Lazard Capital Market’s analysts rated “underperform” which fell from “buy” rating, Cantor Fitzgerald and Benchmark Co’s analysts lowered their price targets for the company from $75.00 to $65.00 and from $77.00 to $66.00 respectively.

The share of Expedia Inc (NASDAQ:EXPE) are currently trading at $46.83, up by 1.72%. The company has recorded the intraday trading low price of $45.80 and high price of $47.08. For the last 52 weeks of trading, the low price of the stock is at $45.75 and high price of the stock is at $68.09 per share. Currently there are 135.94 million shares of the company in the market and 82% institutional ownership. The company trading at 3.64 million shares and the trading volume on an average for the company was 3.64 million shares per day. The total market cap value of the company is 6.37 billion.