Expedia Shares Drop as Company Warns of Muted Growth for the Remainder of 2026

Expedia shares fell after the firm issued a cautious 2026 outlook despite beating earnings estimates. Strong B2B growth helped boost recent performance.

Insights:
Expedia Group, Inc. forecast a higher adjusted core profit margin for the first quarter of 2026 on February 13, 2026, citing one-time gains and strategic cost reductions. The company expects its adjusted core profit margin for the first quarter to increase by 3 to 4 percentage points, which is a significant improvement over the 1.05 percentage point increase recorded in 2025. However, the company cautioned that full-year margin expansion will be muted, with a projected increase of 1 to 1.25 percentage points for the full year, compared to the 2.4 percentage points achieved in 2025.
Figurines are seen in front of the Expedia logo in this illustration taken February 27, 2022. REUTERS/Dado Ruvic/Illustration
Figurines are seen in front of the Expedia logo in this illustration taken February 27, 2022. REUTERS/Dado Ruvic/Illustration
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