Why Is TripAdvisor (TRIP) Up 0.8% Since Last Earnings Report?

Core Viewpoint - TripAdvisor reported a significant increase in earnings and revenues for Q1 2024, driven by strong performance in the Viator and TheFork segments, although there were concerns regarding the softness in Tripadvisor-branded hotels [2][3]. Financial Performance - Non-GAAP earnings for Q1 2024 were 12 cents per share, up from 5 cents in the prior year, exceeding the Zacks Consensus Estimate of break even [2]. - Revenues reached $395 million, a 6% year-over-year increase, surpassing the Zacks Consensus Estimate of $390.9 million [2]. - Revenue breakdown: - Brand Tripadvisor: $240 million (60.8% of total revenues), down 2% year-over-year [3]. - Viator: $141 million (35.7%), up 23% year-over-year [3]. - TheFork: $41 million (10.4%), up 17% year-over-year [3]. Operating Results - Selling and marketing costs increased 1% year-over-year to $221 million, while general and administrative costs rose 17% to $56 million [4]. - Technology and content costs were $76 million, up 12% year-over-year [4]. - TripAdvisor reported an operating loss of $15 million, wider than the $14 million loss in the previous year [4]. - Adjusted EBITDA margin was 12%, expanding 300 basis points year-over-year [4]. Balance Sheet & Cash Flow - As of March 31, 2024, cash and cash equivalents were $1.17 billion, up from $1.07 billion at the end of 2023 [5]. - Long-term debt was $840 million, slightly up from $839 million in the previous quarter [5]. - Cash generated from operations was $139 million, compared to a cash usage of $19 million in the prior quarter [5]. - Free cash flow for the first quarter was $123 million [5]. Market Sentiment & Estimates - There has been a downward trend in fresh estimates, with the consensus estimate shifting down by 43.28% [5]. - TripAdvisor holds a Zacks Rank 3 (Hold), indicating expectations for an in-line return in the coming months [7]. Industry Comparison - TripAdvisor is part of the Zacks Internet - Commerce industry, where Match Group reported revenues of $859.65 million, a year-over-year increase of 9.2% [8]. - Match Group's EPS for the last quarter was $0.44, compared to $0.42 a year ago, with a Zacks Rank 3 (Hold) as well [8].