While strong cash flow is a key indicator of stability, it doesn’t always translate to superior returns.
Some cash-heavy businesses struggle with inefficient spending, slowing demand, or weak competitive positioning.
As the Q4 earnings season wraps, let’s dig into this quarter’s best and worst performers in the real estate services industry, including Zillow (NASDAQ:ZG) and its peers.
Looking back on consumer internet stocks’ Q4 earnings, we examine this quarter’s best and worst performers, including Expedia (NASDAQ:EXPE) and its peers.
Since April 2020, the S&P 500 has delivered a total return of 121%. But one standout stock has nearly doubled the market - over the past five years, Expedia has surged 231% to $161.01 per share. Its momentum hasn’t stopped as it’s also gained 9.6% in the last six months thanks to its solid quarterly results, beating the S&P by 12.9%.
Value investing has created more billionaires than any other strategy, like Warren Buffett, who built his fortune by purchasing wonderful businesses at reasonable prices.
But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.
Whether it be online shopping or social media, secular forces are propelling consumer internet businesses forward. These themes have enabled rapid growth for the industry,
which has posted a 8.9% gain over the past six months.
This was a good place to be as the S&P 500 shed 1.1% of its value.
While the broader market has struggled with the S&P 500 down 1% since September 2024, Zillow has surged ahead as its stock price has climbed by 20.2% to $69.50 per share. This performance may have investors wondering how to approach the situation.
Let's have a look at what is happening on the US markets one hour before the close of the markets on Tuesday. Below you can find the top S&P500 gainers and losers in today's session.
Travel industry faces turbulence as airlines, booking platforms, hotels, and cruise lines suffer due to weak demand. Three travel-focused ETFs are feeling the pressure, with stocks slipping.
