TripAdvisor's Use of Proceeds From TheFork Sale a Potential Catalyst, Wedbush Says

MT Newswires Live07-31

TripAdvisor's (TRIP) plan to use proceeds from the proposed sale of TheFork on share buybacks, debt paydown and Experiences investment may act as a catalyst for shares, Wedbush said in a note Thursday.

The brokerage said it expects Q2 revenue of $526 million, compared with consensus of $503 million, adjusted earnings before interest, taxes, depreciation, and amortization of $83.2 million, versus $82.1 million, and adjusted EPS of $0.42, compared with $0.37.

Wedbush said its estimates reflect its expectation for continued Experiences/Viator momentum, offset by anticipated low-double-digit percentage decline in Hotels & Other as volume headwinds persist.

Wedbush maintained an outperform rating with a $20 price target.

Price: 14.19, Change: -0.39, Percent Change: -2.67

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