14 Best Consumer Discretionary Stocks to Buy Right Now

8. Expedia Group Inc. (NASDAQ:EXPE)

Number of Hedge Fund Holders: 63

Expedia Group Inc. (NASDAQ:EXPE) is one of the 14 Best Consumer Discretionary Stocks to Buy Right Now.

Baird, on February 13, slightly increased its target price on Expedia by 0.7% to $282 (from $280) and retained its Outperform call on the stock. This price update comes as the firm updated its model following better-than-expected 4th-quarter 2025 results.

Expedia released its Q4 2025 results on February 12, which were headlined by a 51.7% YoY increase in adjusted attributable net income to $478 million (from $315 million). On a per diluted share basis, earnings grew 58.2% YoY to $3.78 (from $2.79). For reference, the street consensus for adjusted EPS was $3.37. This earnings beat was driven by double-digit lodging gross booking growth (primarily from the B2B segment) and margin expansion.

Lodging gross bookings grew 13% YoY to $27.0 billion (from $24.4 billion), as more room nights were booked (9.3% YoY increase to 94 million) at a higher average daily rate (4.0% YoY to $207). The majority of the growth came from the B2B market, which saw gross bookings and revenue growth of 24.3% YoY and 30.0% YoY, respectively. B2C lagged, growing in the mid-to-low single digits.

Cost levels, meanwhile, improved across the company’s cost structure. Cost of revenue (as a % of revenue) declined 77 basis points YoY to 9.6%, marketing spend % fell 48 basis points YoY to 4.6%, while overhead % fell 214 basis points YoY to 18.1% due to economies of scale.

Expedia Group Inc. (NASDAQ:EXPE) is an online travel company that provides travel products and services across the B2C, B2B, and Trivago segments. The company is based in Seattle, Washington, and was founded in 1994.