Market Overview

UPDATE: Morgan Stanley Downgrades Priceline.com to Equal-Weight on Rising Costs

Share:
Related PCLN
Cramer Advises His Viewers On Twitter, Baidu And Tripadvisor
7 Innovations From Amazon Since Its Last Quarterly Report
Buy Facebook - Cramer's Mad Money (1/29/15) (Seeking Alpha)

Morgan Stanley downgraded Priceline.com Incorporated (NASDAQ: PCLN) from Overweight to Equal-weight and lowered the price target from $750.00 to $730.00.

Morgan Stanley commented, "Over the next three years, we expect PCLN to grow bookings at a 19% CAGR and EBITDA margins to contract by 220bps. PCLN is entering a new landscape with a strong number two competitor in Europe (Expedia, Equal-weight). We expect greater online advertising deleverage due to a more competitive environment for paid search marketing, Google's travel initiatives and lower advertising ROI in newer markets. Furthermore, the rapid shift to mobile bookings is a threat to PCLN given its core expertise lies in desktop SEM."

Priceline.com closed at $695.09 on Wednesday.

Latest Ratings for PCLN

DateFirmActionFromTo
Jan 2015Deutsche BankMaintainsBuy
Jan 2015Stifel NicolausDowngradesBuy
Dec 2014Bank of AmericaMaintainsBuy

View More Analyst Ratings for PCLN
View the Latest Analyst Ratings

Posted-In: Morgan StanleyAnalyst Color Downgrades Analyst Ratings

 

Related Articles (PCLN)

Around the Web, We're Loving...

Get Benzinga's Newsletters