Shares of Expedia (NASDAQ: EXPE) climbed more than 17% on Friday after the online travel agency delivered strong third-quarter financial results and lifted its full-year sales forecast.
Image source: Getty Images.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Demand for travel is rising
Expedia's revenue rose 9% to $4.4 billion. The travel marketplace operator's total gross bookings jumped 12% to $30.7 billion, fueled by robust growth in booked room nights in international markets and a reacceleration of its U.S. business.
"Notably, we grew room nights in the U.S. at the fastest pace in over three years," CEO Ariane Gorin said in a press release.
Expedia's business-to-business (B2B) segment was particularly strong. B2B revenue grew 18%, driven by a 26% jump in gross bookings.
During a conference call with analysts, Gorin said Expedia gained market share as it won new corporate partners and existing clients spent more on its platform. Gorin credited a new artificial intelligence (AI)-powered trip planner and tools that help businesses reduce their travel costs as reasons for the gains.
Better still, Expedia's profit margins expanded as its revenue grew. Its adjusted net income leaped 19% to $962 million. Stock buybacks helped to drive Expedia's adjusted earnings per share higher by 23%.
Expedia sees more gains ahead
These strong results and encouraging ongoing travel trends prompted Expedia to boost its full-year sales outlook. Management now expects revenue growth of 6% to 7%, up from a previous forecast of 3% to 5%.
Should you invest $1,000 in Expedia Group right now?
Before you buy stock in Expedia Group, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Expedia Group wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $591,613!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,152,905!*
Now, it’s worth noting Stock Advisor’s total average return is 1,034% — a market-crushing outperformance compared to 191% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of November 3, 2025
Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.