Expedia vs Formula One

Expedia and Formula One are compared here to illuminate how each operates within its sector. This page examines business models, financial performance, and market context in a neutral, accessible way, helping readers understand underlying structure without making forecasts. Educational content, not financial advice.

Expedia and Formula One are compared here to illuminate how each operates within its sector. This page examines business models, financial performance, and market context in a neutral, accessible way,...

Comparison Snapshot

Key Financial Metrics

EXPE

Metric

FWONK

$29.02B

Market Cap

$25.43B

13.64%

Potential Profit

-9.83%

Hold

Analyst Rating

Strong Buy

Why It's Moving

EXPE Shares Swing Ahead of Q4 Earnings as Analysts Tweak Targets

Deutsche Bank lifted its price target to $245 from $235 on a 'hold' rating, signaling confidence in upside despite recent pullback.
Wedbush cut its target to $260 from $290 but kept a neutral stance, reflecting cautious optimism as Q4 EPS consensus sits at $3.32 with a +6.57% Earnings Surprise Prediction.
Prior quarter's EPS beat of $7.57 and 8.7% revenue growth highlight resilient booking trends, boosting enthusiasm for the upcoming report.

Sentiment:

🌋Volatile

FWONK Faces Warning Flags as Analyst Models Signal 10% Downside Risk Amid Valuation Concerns

Morningstar pegs FWONK at a steep 243% premium to its $33.78 fair value, highlighting overvaluation risks that could pressure shares lower if growth disappoints.
Recent 13F filings show hedge fund M.D. Sass slashing its FWONK stake by 36% in Q3, reflecting waning confidence while smaller player Optimize Financial initiated a modest new position.
Q3 2025 earnings missed estimates with $0.24 EPS versus $0.42 expected, underscoring profitability challenges in the entertainment sector ahead of next week's report.

Sentiment:

🐻Bearish

EXPE Shares Swing Ahead of Q4 Earnings as Analysts Tweak Targets

Deutsche Bank lifted its price target to $245 from $235 on a 'hold' rating, signaling confidence in upside despite recent pullback.
Wedbush cut its target to $260 from $290 but kept a neutral stance, reflecting cautious optimism as Q4 EPS consensus sits at $3.32 with a +6.57% Earnings Surprise Prediction.
Prior quarter's EPS beat of $7.57 and 8.7% revenue growth highlight resilient booking trends, boosting enthusiasm for the upcoming report.

Sentiment:

🌋Volatile

FWONK Faces Warning Flags as Analyst Models Signal 10% Downside Risk Amid Valuation Concerns

Morningstar pegs FWONK at a steep 243% premium to its $33.78 fair value, highlighting overvaluation risks that could pressure shares lower if growth disappoints.
Recent 13F filings show hedge fund M.D. Sass slashing its FWONK stake by 36% in Q3, reflecting waning confidence while smaller player Optimize Financial initiated a modest new position.
Q3 2025 earnings missed estimates with $0.24 EPS versus $0.42 expected, underscoring profitability challenges in the entertainment sector ahead of next week's report.

Sentiment:

🐻Bearish

Investment Analysis

Expedia

EXPE

Pros

Expedia raised its 2025 revenue growth forecast to 6-7%, up from the previous 3-5%, following better-than-expected Q3 earnings results.
The B2B segment is a strong growth driver, with bookings up 26% year-over-year reaching $9.38 billion, showing robust business travel demand.
Expedia posted 12% growth in total gross bookings and improved profitability, with adjusted EBITDA margins expanding and net income up 40% year-over-year in Q3.

Considerations

Expedia's high beta of 1.56 indicates greater stock price volatility relative to the market, implying increased investment risk.
The company's price-to-earnings ratio around 26 potentially reflects a premium valuation compared to industry peers, which could limit upside.
Despite growth, Expedia faces competitive pressure in the fragmented online travel market, which could impact margin sustainability.

Formula One

FWONK

Pros

Formula One benefits from growing global fan engagement and expanding media rights deals, which drive recurring revenue.
The company shows diversified revenue streams from race hosting fees, sponsorships, and digital content monetization.
Strong brand and exclusive positioning as the premier global motorsport series provide Formula One with competitive advantages.

Considerations

Formula One's revenue is sensitive to macroeconomic conditions and geopolitical risks that could affect event attendance and sponsorship.
High fixed costs related to hosting races and producing events create operating leverage risk, especially if revenues decline.
Intense competition from other sports and entertainment options may impact future viewer growth and sponsorship valuations.

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