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Priceline.com (PCLN): Price defines bullish 'pennant' consolidation

 May 15, 2008 12:47 PM UTC
Return Risk
-17.65% MID
Tracked Blogger
Symbol Sentiment Start Return Closed
EXPE n/a
PCLN Positive 05/15/08 +58.58% --

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Filed under: Earnings reports, Expedia Inc (EXPE), Technical Analysis, Stocks to Buy

Priceline.com (NASDAQ: PCLN) is an online travel agency. It offers a range of services, including airline tickets, hotel rooms, car rentals, vacation packages and cruises, as well as destination and travel insurance services. The company operates a Name Your Own Price system, which allows users to make offers for travel services at prices they set. It also markets fixed-price travel products and offers various online financial services. Expedia (NASDAQ: EXPE) is a major competitor.


The firm pleased investors last week, when it reported Q1 EPS of 76 cents and revenues of $403.20 million. Analysts had been expecting 60 cents and $377.17 million. Gross travel bookings increased 76% yr/yr, a result above company guidance of 60-65%. Pro forma gross profit rose 74.7% yr/yr, versus guidance of 55-60%. Management predicted FY08 EPS of $5.25-$5.65 ($5.12 consensus).

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