UPDATE: Benchmark Downgrades Travelzoo to Hold

According to Benchmark, Travelzoo TZOO is downgraded to Hold. Benchmark said that it is downgrading shares of Travelzoo (TZOO – PT from $37 to $30) from Buy to Hold following disappointing 4Q11 results. “Net revenue grew by 23.5% y/y to $35.2 million, a marked deceleration from the 40% y/y growth recorded in 3Q11, and well short of consensus at $38.7 million. In addition to a shortfall in domestic search, gross Local Deals revenue may have come in at $31 million, representing a 9% sequential decline, which we see extending into 1Q12.” Travelzoo closed yesterday at $27.52.