U.S. stock market indexes were higher on Friday after the Dow Jones Industrial Average had its worst week in the last nine years. Oil prices also fell, registering the biggest weekly losses in 10 months.
Shares of Expedia Inc. (EXPE, Financial) lost almost 20% in premarket trading on the back of the company reporting its financial results for the fourth quarter. The company posted earnings of 84 cents per share on $2.32 billion in revenue. The company fell short of earnings estimates by 31 cents and revenue expectations by $40 million. Total revenue grew by 11% year over year, however.
Core OTA segment revenues were up 9.6% year over year to $1.86 billion. Egencia increased 18.1% on a year-over-year basis to $137 million. HomeAway increased 16.3% from the year-ago quarter to $193 million. Trivago revenues rose 17.5% to $215 million from the prior-year quarter.
Looking ahead, the company expects adjusted earnings before intererst, taxes, depreciation and amortization (EBITDA) for the first quarter of 2018 to decline significantly, with HomeAway and Trivago reporting adjusted losses. The company projects 2018 adjusted EBITDA growth in the range of 6% to 11%.
Gainers
- Mattel Inc. (MAT, Financial)
- Nvidia Corp. (NVDA, Financial)
- Essex Property Trust Inc. (ESS, Financial)
- Fiserv Inc. (FISV, Financial)
Losers
- Chesapeake Energy Corp. (CHK, Financial)
- Hologic Inc. (HOLX, Financial)
- Michael Kors Holdings Ltd. (KORS, Financial)
- Discovery Communications Inc. (DISCA, Financial)
Global markets
The main European stock markets closed in negative territory. The U.K.'s FTSE 100 lost 1.09%, France's CAC 40 retreated 1.41%, Germany's Dax slid 1.25% and Spain's Ibex 35 declined 1.20%.
In Asia, Japan's Nikkei 225 lost 2.32%, India’s BSE Sensex declined 1.18%, Hong Kong's Hang Seng plummeted 3.10% and China's SSE Composite tumbled 4.05%.
Disclosure: The author holds no positions in any stocks mentioned.
