UPDATE: Deutsche Bank Downgrades Expedia to Hold, Lowers PT on Three Likely Scenarios

In a report published Monday, Deutsche Bank analyst Ross Sandler downgraded the rating on Expedia EXPE from Buy to Hold, and lowered the price target from $66.00 to $51.00. In the report, Deutsche Bank noted, “We've stated that there are three scenarios likely to play out with EXPE shares: 1) The ‘Quick Fix‛ whereby Expedia fixes the short term problems from 2Q (TripAdvisor, Qunar, etc) and is able to hit its full-year guidance, 2) The 'Almost Gets There‛ where EXPE fixes the 2Q problems, but has additional cost for onboarding the Travelocity deal and other items, and has to take guidance down slightly, or 3) The ‘Breakdown‛ where EXPE sees further execution and competitive issues, and management reduces guidance again.” Expedia closed on Friday at $51.73.