Spotting Winners: Expedia (NASDAQ:EXPE) And Consumer Internet Stocks In Q2

Let’s dig into the relative performance of Expedia (NASDAQ:EXPE) and its peers as we unravel the now-completed Q2 consumer internet earnings season.

The ways people shop, transport, communicate, learn and play are undergoing a tremendous, technology-enabled change. Consumer internet companies are playing a key role in lives being transformed, simplified and made more accessible.

The 47 consumer internet stocks we track reported a mixed Q2. As a group, revenues beat analysts’ consensus estimates by 2.6% while next quarter’s revenue guidance was in line.

Stocks, especially growth stocks with cash flows further into the future, had a good end of 2023. On the other hand, this year has seen more volatile stock market swings due to mixed inflation data. However, consumer internet stocks have held steady amidst all this with share prices up 4.1% on average since the latest earnings results.

Expedia (NASDAQ:EXPE)

Originally founded as a part of Microsoft, Expedia (NASDAQ:EXPE) is one of the world’s leading online travel agencies.

Expedia reported revenues of $3.56 billion, up 6% year on year. This print was in line with analysts’ expectations, but overall, it was a mixed quarter for the company with a decent beat of analysts’ booking estimates but slow revenue growth.

“Our second quarter results came in at the high end of our expectations, with gross bookings and revenue growing 6%. We're pleased with our momentum and the sequential improvement in our consumer brands. However, in July, we have seen a more challenging macro environment and a softening in travel demand. We are therefore adjusting our expectations for the rest of the year,” said Ariane Gorin, CEO of Expedia Group.

Interestingly, the stock is up 19.5% since reporting and currently trades at $140.93.

Is now the time to buy Expedia? Access our full analysis of the earnings results here, it’s free.

Best Q2: EverQuote (NASDAQ:EVER)

Aiming to simplify a once complicated process, EverQuote (NASDAQ:EVER) is an online insurance marketplace where consumers can compare and purchase various types of insurance from different providers

EverQuote reported revenues of $117.1 million, up 72.3% year on year, outperforming analysts’ expectations by 13.9%. It was an incredible quarter for the company with optimistic revenue guidance for the next quarter and exceptional revenue growth.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 2.9% since reporting. It currently trades at $23.30.

Is now the time to buy EverQuote? Access our full analysis of the earnings results here, it’s free.

Weakest Q2: Skillz (NYSE:SKLZ)

Taking a new twist at video gaming, Skillz (NYSE:SKLZ) offers developers a platform to create and distribute mobile games where players can pay fees to compete for cash prizes.

Skillz reported revenues of $25.3 million, down 37% year on year, falling short of analysts’ expectations by 4.3%. It was a weak quarter for the company with a decline in its users and a miss of analysts’ user estimates.

Skillz had the weakest performance against analyst estimates and slowest revenue growth in the group. The company reported 122,000 monthly active users, down 37.8% year on year. As expected, the stock is down 7.6% since the results and currently trades at $5.85.

Read our full analysis of Skillz’s results here.

Booking (NASDAQ:BKNG)

Formerly known as The Priceline Group, Booking Holdings (NASDAQ:BKNG) is the world’s largest online travel agency.

Booking reported revenues of $5.86 billion, up 7.3% year on year, surpassing analysts’ expectations by 1.5%. Revenue aside, it was a mixed quarter for the company with a narrow beat of analysts’ booking estimates but slow revenue growth.

The company reported 287 million nights booked, up 7.1% year on year. The stock is up 7.2% since reporting and currently trades at $3,899.

Read our full, actionable report on Booking here, it’s free.

eHealth (NASDAQ:EHTH)

Aiming to address a high-stakes and often confusing decision, eHealth (NASDAQ:EHTH) guides consumers through health insurance enrollment and related topics.

eHealth reported revenues of $65.86 million, down 1.4% year on year, surpassing analysts’ expectations by 20.9%. Zooming out, it was a strong quarter for the company with full-year revenue guidance beating analysts’ expectations.

eHealth delivered the biggest analyst estimates beat among its peers. The stock is down 12.6% since reporting and currently trades at $4.10.

Read our full, actionable report on eHealth here, it’s free.

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