), an online travel research company, has recently agreed to
acquire LaFourchette. The financial terms of the deal have been
Paris-based LaFourchette is an online restaurant booking website
featuring more than 12,000 restaurants in Europe. Additionally, the
company offers management software solutions and application
programming interfaces (APIs) for third-party developers to help
restaurateurs increase their online business.
Upon the completion of the deal, LaFourchette and its employees
will continue to operate from the company's offices in Paris and
The acquisition will complement TripAdvisor's existing restaurant
offering by providing information about hotel bookings and related
details such as discounts and booking details on mobile. This will
improve efficiency, thereby expanding the company's user base,
improving traffic, hotel shoppers and profits.
TripAdvisor has an aggressive merger and acquisition strategy. The
company's most recent purchases include TripBod, a start-up which
connects travelers with local experts, followed by Vacation Home
Rentals for an undisclosed sum. Other takeovers in 2013 include
GateGuru, a flight and airport information mobile app acquisition,
following Oyster.com, TinyPost, JetSetter and CruiseWise.
TripAdvisor is the world's largest online travel research company.
The acquisitions have helped the company to build a desired
portfolio and increase page views per visitor since users now spend
more time on its website. The company is striving to help consumers
make their travel decisions easy and fruitful based on the
experiences of other travelers.
TripAdvisor continues to witness robust top-line growth in every
quarter. The company delivered a decent first quarter, with
earnings exceeding the Zacks Consensus Estimate on the back of
improved global travel market. Revenues were $281.0 million, up
22.2% year over year, driven by improvement in all its product
lines and continued strong hotel shopper growth.
Over the long term, the company is well positioned for growth,
given its expanding user base, improving margins and increasing
monetization of social and mobile platforms.
Currently, TripAdvisor has a Zacks Rank #3 (Hold). Other stocks
that have been performing well and are worth considering include
WebMD Health Corp. (
). While Brightcove sports a Zacks Rank #1 (Strong Buy), WebMD and
Shutterfly carry a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
BRIGHTCOVE (BCOV): Free Stock Analysis Report
SHUTTERFLY INC (SFLY): Free Stock Analysis
TRIPADVISOR INC (TRIP): Free Stock Analysis
WEBMD HEALTH CP (WBMD): Free Stock Analysis
To read this article on Zacks.com click here.