Mizuho Starts TripAdvisor (TRIP) at Underperform, PT $14

Mizuho analyst Lloyd Walmsley initiates coverage on TripAdvisor (NASDAQ: TRIP) with a Underperform rating and a price target of $14.00.

The analyst comments "We launch coverage of Tripadvisor shares with an Underperform rating and $14 price target (-18%). We see significant renewed pressure on organic search traffic in Similar Web data near-term and expect this to be a long-term problem. We expect '24-'27 total rev CAGR of 6%, below Street 7%, with '24-'27 Brand Tripadvisor rev CAGR of -3%, below consensus of -1%. While we like the company's exposure to Experiences and that growth areas are now just over 50% of revenue, these areas are not immune to traffic headwinds given the importance of the TA.com point-of-sale (~25% for Viator). Shares look inexpensive on a sum-of-the-parts valuation, (SOTP), but we do not see a value unlock as likely given the company already undertook a strategic review and segmentation."

For an analyst ratings summary and ratings history on TripAdvisor click here. For more ratings news on TripAdvisor click here.

Shares of TripAdvisor closed at $17.14 yesterday.

You May Also Be Interested In

• JPMorgan Starts Flutter Entertainment (FLUT) at Neutral
• William Blair Downgrades Cardiff Oncology (CRDF) to Market Perform
• Barclays Upgrades Arkema SA (AKE:FP) (ARKAF) to Equalweight