TripAdvisor (NASDAQ:TRIP) Trading Down 7.4% Following Weak Earnings

TripAdvisor, Inc. (NASDAQ:TRIP) shares fell 7.4% during trading on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $9.63 and last traded at $9.5570. 3,826,348 shares traded hands during trading, an increase of 31% from the average session volume of 2,924,921 shares. The stock had previously closed at $10.32.

The travel company reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.15 by ($0.11). The firm had revenue of $411.00 million for the quarter, compared to the consensus estimate of $412.53 million. TripAdvisor had a return on equity of 14.77% and a net margin of 4.23%.The business’s revenue for the quarter was up .0% compared to the same quarter last year. During the same quarter last year, the business earned $0.30 earnings per share.

Trending Headlines about TripAdvisor

Here are the key news stories impacting TripAdvisor this week:

• Positive Sentiment: Record 2025 revenue and continued growth in Experiences and TheFork could support longer-term monetization as TripAdvisor shifts away from legacy hotel advertising. TipRanks: Tripadvisor posts record 2025 revenue
• Positive Sentiment: BTIG kept a “buy” rating while trimming its price target to $15, signaling at least one major shop still sees upside from the sell-off. Benzinga: BTIG price target cut
• Neutral Sentiment: Zacks recently upgraded TRIP to a Strong Buy prior to the print, reflecting some analyst optimism about the company’s longer-term trajectory despite the weak quarter. Zacks: TRIP upgraded to Strong Buy
• Neutral Sentiment: Wedbush lowered its price target to $12 and moved to a “neutral” rating — a modest cut that still implies some upside from current levels but reflects the company’s near-term headwinds. Benzinga: Wedbush price target cut
• Negative Sentiment: Q4 earnings missed expectations: TRIP reported $0.04 EPS vs. ~$0.15 consensus and revenue roughly flat year-over-year, with hotel and ad declines offsetting Experiences/TheFork growth — management flagged ongoing hotel weakness. Zacks: Q4 earnings miss
• Negative Sentiment: First-quarter revenue guidance was cut to roughly $378.1M–$386.1M versus Wall Street’s ~$403.7M estimate, increasing downside risk to near-term consensus and valuation. (Company guidance released in the earnings materials.)
• Negative Sentiment: Traffic pressure from AI-generated overviews and search changes is reducing hotel referral volume; management says it’s seeing traffic declines and is again exploring strategic alternatives including a potential sale of TheFork — heightening execution and asset-mix uncertainty. Skift: traffic decline from AI
• Negative Sentiment: Market reaction: shares plunged to record lows after the print as investors priced in weaker near-term growth and margin pressure. MSN: sinks to record low

Wall Street Analyst Weigh In

Several research firms recently weighed in on TRIP. Weiss Ratings reiterated a “sell (d+)” rating on shares of TripAdvisor in a research note on Monday, December 29th. UBS Group decreased their price objective on TripAdvisor from $19.00 to $16.00 and set a “neutral” rating for the company in a report on Tuesday, February 3rd. Mizuho set a $17.00 target price on TripAdvisor and gave the company a “neutral” rating in a research report on Friday, November 14th. Sanford C. Bernstein reaffirmed an “outperform” rating and set a $20.00 target price on shares of TripAdvisor in a research note on Friday, November 7th. Finally, Jefferies Financial Group lowered their price objective on shares of TripAdvisor from $13.00 to $12.50 and set an “underperform” rating on the stock in a research note on Thursday, December 11th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, eight have assigned a Hold rating and five have given a Sell rating to the stock. According to MarketBeat.com, TripAdvisor presently has a consensus rating of “Reduce” and a consensus target price of $15.21.

Institutional Investors Weigh In On TripAdvisor

Several large investors have recently made changes to their positions in TRIP. Vanguard Group Inc. grew its position in TripAdvisor by 6.1% in the fourth quarter. Vanguard Group Inc. now owns 12,567,936 shares of the travel company’s stock worth $182,989,000 after acquiring an additional 721,957 shares in the last quarter. Ameriprise Financial Inc. boosted its holdings in TripAdvisor by 24.2% during the third quarter. Ameriprise Financial Inc. now owns 7,416,019 shares of the travel company’s stock valued at $120,585,000 after acquiring an additional 1,445,607 shares during the period. Certares Management LLC grew its holdings in TripAdvisor by 177.3% in the 2nd quarter. Certares Management LLC now owns 4,751,818 shares of the travel company’s stock valued at $62,011,000 after buying an additional 3,037,959 shares during the last quarter. Dimensional Fund Advisors LP increased its position in TripAdvisor by 6.1% during the fourth quarter. Dimensional Fund Advisors LP now owns 3,762,943 shares of the travel company’s stock worth $54,790,000 after acquiring an additional 216,862 shares during the period. Finally, Nuveen LLC raised its stake in TripAdvisor by 40.1% during the 4th quarter. Nuveen LLC now owns 3,355,310 shares of the travel company’s stock valued at $48,853,000 after purchasing an additional 961,121 shares during the last quarter. Institutional investors own 98.99% of the company’s stock.

TripAdvisor Stock Down 6.8%

The firm’s 50-day simple moving average is $13.92 and its 200-day simple moving average is $15.57. The company has a market capitalization of $1.12 billion, a price-to-earnings ratio of 15.03, a price-to-earnings-growth ratio of 1.04 and a beta of 1.01. The company has a debt-to-equity ratio of 1.21, a quick ratio of 1.33 and a current ratio of 1.33.

TripAdvisor Company Profile

TripAdvisor (NASDAQ:TRIP) is a leading online travel company that operates a digital platform for travel information, reviews and booking services. The company’s flagship website and mobile apps allow users to access and contribute travel-related content—ranging from hotel and restaurant reviews to ratings for tours, attractions and vacation rentals—helping consumers plan and book trips around the world.

The core of TripAdvisor’s offering is its community-driven review system, which aggregates user-generated feedback alongside editorial content and professional photography.