By Christiana Sciaudone
Investing.com — Expedia (NASDAQ:) jumped 8% on better-than-expected results for the first quarter.
A loss per share of $2.02 was better than the estimated loss of $2.30 on sales of $1.25 billion, higher than the forecasted $1.11 billion, according to data compiled by Investing.com.
Beach and outdoor destinations have shown robust rebounds while major cities and business and international trips remain muted, the company said.
“For our part, we continue to invest in bolstering our technology platform and in marketing where we can best get ahead of the demand curve. Because the market has clearly shown that when people feel safe to travel, demand comes roaring back,” Chief Executive Officer Peter Kern said in a statement.
Analysts from Credit Suisse (SIX:) to Wolfe Research rewarded Expedia with price target increases after the results were published.
Despite seeing an obvious plunge in sales and profit with the pandemic shutting the world down, shares inexplicably hit a record in March.
“I’m rooting for revenge travel, whatever that is,” Kern said on the earnings call on Thursday. “Whatever kind of travel people want to do, we’re happy to accommodate it, revenge or otherwise.”
Kern pointed to Florida as proof that people are getting back on the road.
“Places like Miami demonstrate that there is huge pent-up demand to go to places where people can experience a relatively normal travel experience. And I don’t know if you’ve been to Miami recently, but it is packed. The hotels are full. People are out everywhere,” Kern said on the call.
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