The economist thinks the Fed ought to pay more attention to financial markets when setting interest rates.The Fedread more
Kohl's, J.C. Penney and Nordstrom release disappointing earnings news, putting a damper on their sector.Retailread more
Bezos's comments give a rare glimpse into his interest in the auto industry. Amazon recently invested in two self-driving start-ups.Technologyread more
While investing often seems like a contrarian game where going against the flow feels like the better bet, the reality is that investors who bought the most-favored stocks...Hedge Fundsread more
Talks between the world's two largest economies have stalled after each nation lobbied higher tariffs on the other's imports.Traderead more
A Chinese official in Hong Kong is urging the quick passage of legal measures to allow fugitives to be transferred to the mainland.China Politicsread more
GAC Motor said its delaying its launch in the U.S. but had no timeline when it could launch there.Autosread more
Shares in Asia were higher in Wednesday morning trade following a positive finish overnight on Wall Street, though trade tensions continued to linger between the U.S. and...Asia Marketsread more
See which stocks are posting big moves after the bell on Tuesday, May 21.Market Insiderread more
CBS plans to renew discussions for Starz with Lions Gate in the coming weeks, according to people familiar with the matter. If a deal happens, the remainder of Lions Gate...Technologyread more
The United States sees signs the Syrian government may be using chemical weapons, including an alleged chlorine attack on Sunday in northwest Syria, the State Department said...Defenseread more
Goldman Sachs upgraded Expedia to buy from neutral on Friday, saying the travel company's relatively cheap valuation and growth potential make it a compelling stock to own for 2019.
"While we're still generally cautious on the travel space given tight supply and healthy underlying demand, we believe TripAdvisor and Booking's recent ad spend rationalization puts Expedia in a better relative position. We believe we have seen evidence of this during recent periods where Expedia was able to drive bookings growth acceleration alongside leverage in ad spend," the bank's analyst Heath Terry wrote in note to clients Friday.
As investors flee high-growth names in favor of value plays, Terry believes Expedia can move higher given its relatively cheap valuation.
"We also believe the stock's relatively low trading multiple means it is likely to outperform in a tougher market environment for growth stocks," he wrote.
The firm raised its 12-month price target on the stock to $140 from $125, which represents a 29 percent upside from Thursday's closing price of $108.52.
Expedia also stands to benefit from an overall shift in consumer preferences, the firm believes.
"While we expect the online travel environment to remain tight as supply growth stays muted, consumers globally continue to shift discretionary spend to experiences from goods...we believe the potential for Expedia to drive better returns on marketing...should drive outperformance in the stock."
Expedia currently trades at 16.5X forward earnings, according to FactSet estimates. The stock is in a bear market, after falling 22.4 percent from its 52-week intraday high of $139.77 on July 27.