5 Best Summer Stocks To Buy Now

3. Expedia Group, Inc. (NASDAQ:EXPE)

Number of Hedge Fund Holders: 82

Expedia Group, Inc. (NASDAQ:EXPE) is one of the world’s largest online travel companies with operations in more than 200 countries around the globe under its brands; Expedia.com and Hotels.com.

On May 3, Benchmark analyst Daniel Kurnos reiterated a ‘Buy’ rating on Expedia Group, Inc. (NASDAQ:EXPE) shares and increased the price target to $275 from $265. He noted that the firm posted in-line Q1 results despite another shortfall in bookings, whilst noting that the recovery narrative in the travel industry has continued largely unabated. The analyst raised his 2023 EBITDA estimate for the firm by roughly $40 million and now sees incremental upside to revenue despite a modest outlook on bookings.

The company released its first quarter earnings on May 2, where EPS was reported at -$0.47, beating estimates by $0.01. Quarterly revenue of $2.25 billion was an increase of 80.5% year-on-year.

Hedge fund sentiment was positive on Expedia Group, Inc. (NASDAQ:EXPE) at the close of the fourth quarter, where 82 hedge funds reported long bets on the company shares. This is up from 78 hedge funds a quarter ago. Daniel Sundheim’s D1 Capital Partners held a $2.29 billion stake in Expedia Group, Inc. (NASDAQ:EXPE) at the end of the fourth quarter, making it the firm’s biggest shareholder.

Heartland Advisors, an investment firm, talked about Expedia Group, Inc. (NASDAQ:EXPE) in its Q4 2021 investor letter, stating:

“The run-up in equity prices over the past year and a half has narrowed the pool of attractively valued businesses. Economically sensitive areas of the market, in particular, have seen valuations stretched—but the impact of investor exuberance is evident in share prices of companies throughout the broader market. In our view, the elevated valuations commanded by many stocks have heightened risks and dampened upside potential.

In response to this backdrop, we continue to focus on finding and owning companies that are poised to succeed against a variety of backdrops or those that are priced at significant discounts to peers regardless of the sector or industry. Recent addition Expedia Group, Inc. (EXPE) is an example of the type of business we’ve found attractive.”