EXPE Stock Rockets 15% Pre-Market On Q3 Earnings Beat But Is Still Away From Wells Fargo's New Price Target

For the third quarter, Expedia reported a revenue of $4.4 billion, a 9% year-on-year increase. Adjusted earnings per share were $7.57.

• Wells Fargo lifted its price target on Expedia shares to $272 from $212.
• Piper Sandler upgraded Expedia from ‘Underweight’ to ‘Neutral’.
• Expedia’s Q3 revenue and adjusted EPS both exceeded Wall Street expectations. 

Expedia Group Inc. (EXPE) received a strong backing from Wells Fargo and Piper Sandler following the travel company’s strong third-quarter results, signaling renewed optimism about its operational turnaround.

For Q3, Expedia reported a revenue of $4.4 billion, a 9% year-on-year (YoY) increase. Gross bookings of $30.7 billion surged 12% YoY, and adjusted earnings per share (EPS) were $7.57.

Both revenue and adjusted EPS exceeded the analysts’ consensus estimate of $4.26 billion and $6.95, respectively, according to Fiscal AI data. 

Wells Fargo Hikes Price Target 

Wells Fargo lifted its price target on Expedia shares to $272 from $212 while maintaining an ‘Equal Weight’ rating, according to TheFly. The firm cited faster growth in room nights and robust margins that are expected to persist into the fourth quarter. 

Improved performance under Expedia’s restructured leadership team supports this positive outlook, the firm highlighted. However, Wells Fargo warned that valuation multiple expansion could prove difficult due to bearish sentiment around artificial intelligence trends in the market.

Expedia’s stock traded over 15% higher in Friday’s premarket. On Stocktwits, retail sentiment around the stock improved to ‘extremely bullish’ from ‘bullish’ territory the previous day. Message volume jumped to ‘extremely high’ from ‘normal’ levels in 24 hours. 

What Did Piper Sandler Say?

In a separate move, Piper Sandler upgraded Expedia from ‘Underweight’ to ‘Neutral’ and raised its price target to $250 from $190. The firm said Expedia delivered ‘very strong’ quarterly earnings and upbeat guidance for the fourth quarter. 

The firm credited accelerating bookings, improved platform efficiency, and smarter spending on loyalty programs and marketing for the company’s improved trajectory.

EXPE stock has gained over 17% in 2025 and over 26% in the last 12 months. 

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