Impact of Iran War Varies on Travel Stocks; Expedia Benefits from AI Advancements.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 05 2026
0mins
Source: Barron's
- Impact on Travel Stocks: The ongoing war between the U.S. and Israel against Iran has significantly affected most travel stocks negatively.
- Exceptions in the Market: Despite the downturn, Expedia Group and Booking Holdings have managed to stand out as notable exceptions in the travel sector.
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Analyst Views on EXPE
Wall Street analysts forecast EXPE stock price to rise
28 Analyst Rating
9 Buy
19 Hold
0 Sell
Moderate Buy
Current: 224.660
Low
220.00
Averages
284.79
High
360.00
Current: 224.660
Low
220.00
Averages
284.79
High
360.00
About EXPE
Expedia Group, Inc. is an online travel company. The Company’s segments include B2C, B2B, and trivago. The B2C segment provides a full range of travel and advertising services to its worldwide customers through a variety of consumer brands including: Expedia.com, Hotels.com, Vrbo, Orbitz, Travelocity, Wotif Group, ebookers, CheapTickets, Hotwire.com and CarRentals.com. The B2B segment fuels a wide range of travel and non-travel companies, including airlines, offline travel agents, online retailers, corporate travel management and financial institutions, who leverage travel technology and tap into its diverse supply to augment their offerings and market Expedia Group rates and availabilities to their travelers. Its trivago segment generates advertising revenue primarily from sending referrals to online travel companies and travel service providers from its hotel metasearch Websites. The trivago is its majority-owned hotel metasearch company, based in Dusseldorf, Germany.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Building Industry Advantages: By establishing one of the largest hotel inventories in the industry, especially among independent properties, Booking has enhanced its competitive edge in Google searches, leading to higher conversion rates and creating a self-reinforcing growth cycle.
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- Building Industry Advantages: By establishing one of the largest hotel inventories in the industry, especially among independent properties, Booking has enhanced its competitive edge in Google searches, leading to higher conversion rates and creating a self-reinforcing growth cycle.
- Potential AI Impact: While AI could disrupt the online travel industry by altering competitive factors like pricing and information quality, Booking still benefits from a broad inventory network and strong consumer trust, maintaining a global presence that rivals find difficult to replicate quickly.
See More
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- Internal Frustration: An Adweek report indicates that departing executives have expressed dissatisfaction with the company's rising take rate and internal leadership decisions under CEO Jeff Green, which could impact future leadership stability and employee morale.
- Slowing Growth: The Trade Desk is grappling with slowing growth, as its revenue for Q1 2026 rose only 10%, a stark contrast to the 25% increase seen in the same period last year, primarily due to fierce competition from Amazon and macroeconomic uncertainties.
- Market Sentiment: Despite the stock losing nearly 75% of its value over the past year, retail sentiment around TTD stock remains bullish on Stocktwits, with some users optimistic that the new CMO will help stabilize the company's situation.
See More
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- Market Growth Potential: This acquisition is expected to combine CarTrawler's specialized expertise with Expedia's global scale and technology, providing supply partners with a larger distribution network while enhancing choice and competitive pricing for B2B demand partners and consumers.
- Transaction Timeline: The deal is expected to close in H2 2026, subject to customary closing conditions, allowing CarTrawler to continue as a core component of Expedia's broader B2B engine.
- Diversification Strategy: This acquisition follows Expedia's previous purchase of Tiqets, further diversifying its API offerings and demonstrating Expedia's ongoing expansion and diversification strategy in the B2B sector.
See More
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- Popular Destination Searches: Searches for Jasper, Alberta have surged by 55%, while interest in Ontario's Niagara-on-the-Lake and Blue Mountains has risen by 25%, reflecting travelers' preference for nearby vacation spots, which may influence hotel and tourism industry strategies.
- Hotel Hopping Trend: The demand for hotel hopping is increasing this summer as travelers plan multiple hotel stays around events, showcasing a consumer desire for diverse travel experiences that could stimulate innovation and service enhancements in the hospitality sector.
- Reading and Travel Integration: Social discussions related to reading have surged by 213%, indicating that more travelers are incorporating books into their summer vacations, a trend that may drive the development of related travel products and services.
See More
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- Domestic Travel Surge: Global social conversations about domestic holidays have increased by 77% year-over-year, with 45% of Britons showing greater interest in UK breaks, indicating a shift towards closer getaways in response to rising travel costs.
- Hotel Hopping Trend: The demand for hotel hopping has surged this summer, as travelers book accommodations near events to maximize their experiences, particularly during concerts and sports events, enhancing the appeal of various destinations.
- Sports Event Impact: With major football events approaching in North America, accommodation searches in cities like Kansas City and Philadelphia have skyrocketed, with Kansas City seeing a staggering 700% increase, showcasing the powerful influence of sports on travel plans.
- Screen-Inspired Travel: Following the release of popular films and series, interest in destinations like Yorkshire has surged by 60%, highlighting how screen-inspired travel trends are shaping summer demand.
See More
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- Acquisition Strategy: Expedia Group announced its acquisition of Ireland-based CarTrawler, aiming to enhance its B2B travel platform by integrating car rental and ground transport solutions, thereby expanding its market share.
- Supply Chain Integration: CarTrawler connects over 550 car rental suppliers and 500 mobility suppliers to more than 300 travel brands, including over 70 airlines, which will significantly bolster Expedia's competitiveness in the travel industry.
- Technology and Innovation: This acquisition will enhance Expedia's offerings in mobility and Insurtech, leveraging CarTrawler's technological advantages to improve customer experience and drive business growth.
- Transaction Timeline: While the financial terms of the deal remain undisclosed, it is expected to close in the second half of 2026, subject to customary closing conditions, providing a strategic timeframe for Expedia's long-term planning.
See More
