TripAdvisor (TRIP) AI Stock Analysis

• Market Cap: $1.72B
• Dividend Yield: N/A
• Average Volume (3M): 2.25M
• Price to Earnings (P/E): 32.4
• Beta (1Y): 1.42
• Revenue Growth: 3.03%
• EPS Growth: 187.03%
• Country: US
• Employees: 2,770
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Services
• EPS (TTM): 0.65
• Shares Outstanding: 116,133,590
• 10 Day Avg. Volume: 1,971,650
• 30 Day Avg. Volume: 2,249,130
• PEG Ratio: -8.25
• Price to Book (P/B): 2.18
• Price to Sales (P/S): 1.12
• P/FCF Ratio: 29.33
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 0.93
• Enterprise Value/Gross Profit: 1.34
• Enterprise Value/Ebitda: 9.61
• 1Y Price Target: $17.63
• Price Target Upside: 14.33% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 16
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $16.50 ▲(7.00% Upside)

TripAdvisor's overall score is driven by strong financial performance and positive earnings call highlights, particularly in the Viator and TheFork segments. However, high leverage, bearish technical indicators, and valuation concerns weigh down the score.

Positive Factors

AI and Future Strategy

Tripadvisor's strategic pivot to an AI-driven model aims to enhance personalization and operational efficiency, positioning the company for long-term growth in the evolving digital landscape.

Viator and TheFork Growth

Significant growth in Viator and TheFork segments highlights successful strategic initiatives, strengthening Tripadvisor's market position in the experiences sector.

Cost Savings Program

The cost savings initiative aims to improve operational efficiency and profitability, providing a stronger financial foundation for future investments and growth.

Negative Factors

High Leverage

High leverage poses financial risk, potentially limiting Tripadvisor's flexibility to invest in growth opportunities and increasing vulnerability to economic downturns.

Traffic Volume Headwinds

Traffic headwinds in key segments could hinder revenue growth and challenge Tripadvisor's ability to maintain its competitive edge in the travel services market.

Brand Tripadvisor Revenue Decline

Declining revenue in the Brand Tripadvisor segment suggests challenges in maintaining user engagement and monetization, impacting overall business performance.

TripAdvisor Business Overview & Revenue Model

Company Description

TripAdvisor, Inc. is a leading travel and restaurant website that provides user-generated content, reviews, and booking services. The company operates in the travel and hospitality sector, offering a platform where users can plan trips, read reviews, compare prices, and make reservations for hotels, flights, restaurants, and attractions. TripAdvisor's core products include its website and mobile applications that serve millions of travelers worldwide, facilitating travel planning and decision-making through a vast array of user-generated content and travel-related information.

How the Company Makes Money

TripAdvisor generates revenue through several key streams, primarily from advertising and transaction-based bookings. The company earns a substantial portion of its revenue through a cost-per-click (CPC) advertising model, where travel service providers pay for advertisements displayed on the TripAdvisor platform. Additionally, TripAdvisor earns revenue from its Instant Booking feature, which allows users to book hotels and accommodations directly through its site, earning commissions on each booking made. The company also has partnerships with various travel-related businesses, including airlines and hotel chains, enhancing its revenue through affiliate marketing and referral fees. Overall, TripAdvisor's diverse revenue model capitalizes on its vast user base and the increasing reliance on online platforms for travel planning.

TripAdvisor Financial Statement Overview

Summary

TripAdvisor shows strong profitability with improved net profit and cash flow margins. However, high leverage is a concern, indicating financial risk. Continued focus on debt management is crucial.

Income Statement

TripAdvisor's income statement shows a strong gross profit margin of 95.94% TTM, indicating efficient cost management. The net profit margin improved significantly to 3.48% TTM from 0.27% in the previous year, reflecting enhanced profitability. Revenue growth is modest at 1.74% TTM, but consistent growth over the years is a positive sign. EBIT and EBITDA margins have also improved, suggesting better operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 2.01 TTM, indicating significant leverage, which could pose financial risk. However, the return on equity has improved to 8.24% TTM, showing better returns for shareholders. The equity ratio is moderate, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis shows a strong free cash flow growth of 174.07% TTM, highlighting improved cash generation. The operating cash flow to net income ratio is 0.21, indicating adequate cash flow relative to net income. The free cash flow to net income ratio of 0.86 TTM suggests efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.89B	1.83B	1.79B	1.49B	902.00M	604.00M
Gross Profit	1.31B	1.70B	1.64B	1.38B	828.00M	549.00M
EBITDA	182.00M	218.00M	256.00M	208.00M	-29.00M	-209.00M
Net Income	79.00M	5.00M	10.00M	20.00M	-148.00M	-289.00M
Balance Sheet
Total Assets	2.85B	2.56B	2.54B	2.57B	2.29B	1.97B
Cash, Cash Equivalents and Short-Term Investments	1.22B	1.06B	1.07B	1.02B	723.00M	418.00M
Total Debt	422.00M	903.00M	912.00M	929.00M	953.00M	634.00M
Total Liabilities	2.14B	1.62B	1.67B	1.71B	1.50B	1.08B
Stockholders Equity	707.00M	943.00M	871.00M	861.00M	789.00M	886.00M
Cash Flow
Free Cash Flow	322.00M	70.00M	172.00M	344.00M	54.00M	-249.00M
Operating Cash Flow	345.00M	144.00M	235.00M	400.00M	108.00M	-194.00M
Investing Cash Flow	-87.00M	-73.00M	-63.00M	-52.00M	-54.00M	-56.00M
Financing Cash Flow	-145.00M	-63.00M	-127.00M	-27.00M	263.00M	341.00M

TripAdvisor Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRIP, the sentiment is Negative. The current price of 15.42 is below the 20-day moving average (MA) of 15.86, below the 50-day MA of 16.69, and below the 200-day MA of 15.57, indicating a bearish trend. The MACD of -0.29 indicates Positive momentum. The RSI at 43.38 is Neutral, neither overbought nor oversold. The STOCH value of 22.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRIP.

TripAdvisor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABNB	79 Outperform	$76.03B	29.56	33.26%	―	10.23%	-44.56%
TCOM	73 Outperform	$46.51B	19.37	12.94%	0.40%	17.73%	27.95%
EXPE	72 Outperform	$26.45B	26.16	129.04%	0.55%	5.69%	47.33%
MMYT	65 Neutral	$10.21B	120.24	16.66%	―	14.55%	-68.46%
BKNG	63 Neutral	$160.90B	32.44	―	0.74%	12.96%	3.66%
TRIP	63 Neutral	$1.72B	32.43	8.76%	―	3.03%	187.03%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

TripAdvisor Corporate Events

Tripadvisor Announces Strategic Realignment for AI-Driven Future

On November 6, 2025, Tripadvisor announced a strategic realignment of its operating model to support its long-term goals as an experiences-led and AI-enabled company. This involves a reduction in global workforce and is expected to result in at least $85 million in annualized gross cost savings by 2027. The company also reported financial results for the third quarter of 2025, with a 4% increase in revenue year-over-year, amounting to $553 million. The realignment is part of Tripadvisor’s strategy to leverage its data and brand trust for AI-driven opportunities, aiming to transform the travel experience and enhance profitability.

The most recent analyst rating on (TRIP) stock is a Hold with a $17.00 price target. To see the full list of analyst forecasts on TripAdvisor stock, see the TRIP Stock Forecast page.

Tripadvisor’s Earnings Call: Strategic Gains Amid Challenges

Tripadvisor’s Latest Earnings Call: Strategic Progress Amidst Challenges

Tripadvisor Sees Revenue Growth in Q2 2025

Tripadvisor, Inc., a leading online travel company, provides a platform for travelers to plan and book their trips, offering services in the travel and experiences sector with a focus on hotels, experiences, and dining.