Expedia shares sank 19% on Friday after the corporate saw softness in air travel bookings and its CEO resigned. CNBC’s Jim Cramer said the magnitude of the stock decline could also be an overreaction. While delivering an earnings-per-share beat and in-line revenue within the fourth quarter, bookings fell short, “largely driven by a discount in average ticket prices” for air travel, management said during its post-earnings conference call. Hotel and vacation bookings, nevertheless, fared higher. Investors also received the unexpected news that Expedia CEO Peter Kern might be stepping down after 4 years on the helm. Kern might be succeeded by Ariane Gorin, who has been with the corporate for greater than 10 years. She was previously an executive at Microsoft between 2003 and 2013. (Microsoft is a holding in Jim’s Charitable Trus t, the portfolio utilized by the CNBC Investing Club .) While Expedia stock didn’t look good, Cramer acknowledged that management led by Kern “has done an excellent job” in bringing the corporate out of Covid when no person was traveling. EXPE 5Y mountain Expedia 5 years Expedia said it sees “some softness in prices across categories” in 2024, and it expects “growth rates the world over to decelerate.”
Thanksgiving air travel expected to hit record levels, airlines say
A travelers check flight information at LAX because the shutdown passes the one-month mark, leaving essential staff unpaid in Los...
