trivago vs Expedia Which Is a Smarter Choice?

Trivago and Expedia are two major players in the online travel booking industry. Both companies offer similar services, allowing customers to search for and book hotels, flights, and vacation packages. While Trivago primarily focuses on hotel bookings, Expedia offers a wide range of travel options. When comparing their stocks, investors must consider factors such as market share, revenue growth, and profitability. Understanding the dynamics of the online travel industry can help investors make informed decisions about investing in Trivago vs Expedia stocks.

trivago or Expedia?

When comparing trivago and Expedia, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between trivago and Expedia.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. trivago has a dividend yield of -%, while Expedia has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. trivago reports a 5-year dividend growth of 0.00% year and a payout ratio of -686.38%. On the other hand, Expedia reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with trivago P/E ratio at -6.11 and Expedia's P/E ratio at 23.05. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. trivago P/B ratio is 0.85 while Expedia's P/B ratio is 18.60.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, trivago has seen a 5-year revenue growth of 1.71%, while Expedia's is 0.18%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with trivago's ROE at -12.89% and Expedia's ROE at 92.08%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $2.41 for trivago and $188.85 for Expedia. Over the past year, trivago's prices ranged from $1.60 to $3.29, with a yearly change of 105.62%. Expedia's prices fluctuated between $107.25 and $192.34, with a yearly change of 79.34%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.