S&P Capital IQ Reiterates its BUY rating on Expedia

October 29 00:00 2011

NEW YORK, October 29 (RainbowNewsLine.com) – Analyst Scott Kessler of S&P Capital IQ reiterates his BUY rating on the shares of EXPEDIA (NASDAQ:EXPE), while raising his estimates for the company. The 12-month target price is set to $40.

Analyst Scott Kessler, in a research note published yesterday mentions that the company posted its Q3 EPS ahead of the estimates and the consensus. EXPEDIA’s revenues grew 15%, marginally exceeding the estimates, indicating strength from international and TripAdvisor segments. The company has raised few concerns related to leisure airline tickets and Southern Europe, the analyst says. The analyst expects the company’s  TripAdvisor spinoff to be completed by the end of this year. The EPS estimate for 2011 has been raised from $1.75 to $1.85.