Shares of American travel company Expedia Inc (NASDAQ:EXPE) were down 1.43% close to the top of the noon hour on September 21. The top 3 U.S. indexes suffered early declines on Thursday after the Federal Reserve wrapped up its meetings with more hawkish comments on Wednesday telegraphing its intention to gradually wind down its asset purchasing program.
Expedia stock has fallen 7% since August 1, in spite of a solid earnings beat released on July 27. Second quarter results saw the company post revenue that increased 18% from Q2 2016 to $2.6 billion. The company also posted earnings of $0.66 per share beating analyst estimates. The earnings boosted Expedia stock to an all-time high of $161.00 before it began its slide. August was a tumultuous month which saw rising tensions with North Korea, a political earthquake in Charlottesville that led to further shakeups in the White House, and the fallout from the devastation of Hurricane Harvey.
Expedia announced the arrival of new CEO Mark Okerstrom at the end of August. Okerstrom plans to make Expedia a more global player as the bulk of its revenue comes from U.S. citizens. Okerstrom was particularly interested in Europe, believing that Expedia can establish itself more locally with the European consnumer.
Shares of Expedia have experienced 24% growth in 2017 and 30% year over year. It offers a small dividend yield of 0.85% coming to a dividend of $0.35 per share at offering. Solid earnings and a revamped growth strategy make it an attractive target for investors after its August losses.
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