TripAdvisor (NASDAQ:TRIP) Stock Price Down 7.4% After Earnings Miss

TripAdvisor, Inc. (NASDAQ:TRIP)’s stock price was down 7.4% on Friday following a weaker than expected earnings announcement. The company traded as low as $9.63 and last traded at $9.5570. Approximately 3,826,348 shares traded hands during trading, an increase of 31% from the average daily 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 analysts’ consensus estimates of $0.15 by ($0.11). TripAdvisor had a net margin of 2.12% and a return on equity of 10.67%. The company had revenue of $411.00 million during the quarter, compared to the consensus estimate of $412.53 million. During the same quarter in the previous year, the business posted $0.30 earnings per share. The business’s quarterly revenue was up .0% compared to the same quarter last year.

Key Stories Impacting TripAdvisor

Here are the key news stories impacting TripAdvisor this week:

• Positive Sentiment: Record 2025 revenue and strategic focus on Experiences and TheFork, which management highlighted as growth areas that could help offset weakness in legacy hotel/ads over time. Tripadvisor posts record 2025 revenue, boosts Experiences focus
• Positive Sentiment: BTIG kept a buy rating despite cutting its price target from $20 to $15, signaling some analysts still see upside if recovery in core categories resumes. BTIG price target note via Benzinga
• Neutral Sentiment: Wedbush trimmed its price target to $12 and set a neutral rating — a moderation in optimism but not a blanket sell call. TRIP price target lowered at Wedbush
• Neutral Sentiment: Company filings, press release and slide deck for the Q4 results are available for investors reviewing the detail behind the numbers and guidance. Tripadvisor earnings press release
• Negative Sentiment: Q4 missed estimates: EPS $0.04 vs. consensus $0.15 and revenue roughly flat year-over-year; management reported an operating loss and flagged continued hotel weakness — the core ad/hotel mix remains the main drag. TRIP’s Q4 Earnings Miss Estimates, Hotel Weakness Drags Results
• Negative Sentiment: Weaker Q1 revenue guidance ($378.1M–$386.1M vs. street ~$403.7M) increases near-term downside risk to estimates and investor sentiment. Tripadvisor earnings press release
• Negative Sentiment: Traffic pressure from AI-generated overviews and management saying it is reconsidering strategic alternatives (including weighing a sale of TheFork) raise uncertainty about future traffic and monetization. Tripadvisor Sees Traffic Decline from AI Overviews, Considers ‘Strategic Alternatives’ (Again)
• Negative Sentiment: Shares hit record lows in the session amid the combination of the earnings miss, weak guidance and talk of asset sales — pressure amplified by heavier-than-normal trading volume. Tripadvisor sinks to record low on Q4 results, weighs sale of TheFork

Analyst Ratings Changes

Several equities research analysts have commented on TRIP shares. UBS Group dropped their price target on shares of TripAdvisor from $19.00 to $16.00 and set a “neutral” rating on the stock in a research note on Tuesday, February 3rd. Jefferies Financial Group decreased their price objective on TripAdvisor from $13.00 to $12.50 and set an “underperform” rating for the company in a report on Thursday, December 11th. 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. Cantor Fitzgerald set a $10.00 price target on TripAdvisor and gave the stock an “underweight” rating in a research note on Friday. Finally, Wedbush lowered their price target on TripAdvisor from $15.00 to $12.00 and set a “neutral” rating on the stock in a report on Friday. One equities 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 company. According to data from MarketBeat, TripAdvisor has an average rating of “Reduce” and a consensus target price of $15.21.

Institutional Investors Weigh In On TripAdvisor

Hedge funds and other institutional investors have recently made changes to their positions in the company. Essex Investment Management Co. LLC lifted its position in TripAdvisor by 75.7% during the 3rd quarter. Essex Investment Management Co. LLC now owns 1,523 shares of the travel company’s stock worth $25,000 after acquiring an additional 656 shares during the last quarter. Covestor Ltd increased its stake in shares of TripAdvisor by 64.8% in the third quarter. Covestor Ltd now owns 1,770 shares of the travel company’s stock worth $29,000 after purchasing an additional 696 shares during the period. Kestra Advisory Services LLC bought a new stake in TripAdvisor during the 4th quarter valued at approximately $33,000. UMB Bank n.a. increased its position in TripAdvisor by 295.2% in the 4th quarter. UMB Bank n.a. now owns 2,300 shares of the travel company’s stock worth $33,000 after buying an additional 1,718 shares during the period. Finally, Smartleaf Asset Management LLC lifted its holdings in shares of TripAdvisor by 39.7% during the third quarter. Smartleaf Asset Management LLC now owns 2,482 shares of the travel company’s stock worth $42,000 after buying an additional 705 shares during the last quarter. 98.99% of the stock is owned by hedge funds and other institutional investors.

TripAdvisor Stock Down 6.9%

The firm has a 50-day moving average price of $13.80 and a two-hundred day moving average price of $15.50. The company has a market capitalization of $1.12 billion, a P/E ratio of 32.03, a PEG ratio of 0.83 and a beta of 1.01. The company has a quick ratio of 1.33, a current ratio of 1.29 and a debt-to-equity ratio of 1.33.

About TripAdvisor

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.