Travelzoo (NASDAQ:TZOO) Cut to Strong Sell at Zacks Research

Zacks Research downgraded shares of Travelzoo (NASDAQ:TZOO) from a hold rating to a strong sell rating in a research report report published on Monday,Zacks.com reports.

Several other brokerages have also recently weighed in on TZOO. UBS Group set a $23.00 target price on Travelzoo in a research note on Wednesday, November 19th. Ascendiant Capital Markets reduced their price objective on shares of Travelzoo from $26.00 to $23.00 and set a “buy” rating for the company in a research report on Wednesday, November 19th. Weiss Ratings reissued a “hold (c)” rating on shares of Travelzoo in a research note on Friday, January 9th. Finally, Barrington Research reduced their target price on shares of Travelzoo from $13.00 to $8.00 and set an “outperform” rating for the company in a report on Friday, February 20th. Three investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Travelzoo has a consensus rating of “Hold” and a consensus target price of $18.00.

Travelzoo Price Performance

NASDAQ TZOO opened at $6.28 on Monday. Travelzoo has a 12 month low of $4.72 and a 12 month high of $16.56. The firm has a market capitalization of $68.64 million, a PE ratio of 16.53 and a beta of 0.84. The company’s 50 day simple moving average is $6.10 and its 200 day simple moving average is $7.81.

Travelzoo (NASDAQ:TZOO) last released its earnings results on Thursday, February 19th. The information services provider reported $0.00 earnings per share for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.11). Travelzoo had a negative return on equity of 120.98% and a net margin of 4.98%.The firm had revenue of $22.47 million during the quarter, compared to analyst estimates of $22.54 million. Sell-side analysts anticipate that Travelzoo will post 1.09 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, major shareholder Azzurro Capital Inc sold 40,000 shares of the stock in a transaction dated Friday, December 26th. The stock was sold at an average price of $6.97, for a total value of $278,800.00. Following the completion of the sale, the insider directly owned 3,662,696 shares of the company’s stock, valued at approximately $25,528,991.12. This represents a 1.08% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Holger Bartel acquired 40,000 shares of the firm’s stock in a transaction on Tuesday, February 24th. The shares were acquired at an average price of $5.43 per share, with a total value of $217,200.00. Following the completion of the transaction, the chief executive officer directly owned 200,000 shares in the company, valued at approximately $1,086,000. This trade represents a 25.00% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last 90 days, insiders bought 200,000 shares of company stock valued at $1,077,000 and sold 102,500 shares valued at $727,150. 43.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Travelzoo

Several institutional investors and hedge funds have recently modified their holdings of the business. AQR Capital Management LLC boosted its holdings in Travelzoo by 28.5% in the fourth quarter. AQR Capital Management LLC now owns 101,449 shares of the information services provider’s stock worth $722,000 after purchasing an additional 22,490 shares in the last quarter. Lazard Asset Management LLC bought a new stake in shares of Travelzoo during the 4th quarter worth about $115,000. Jain Global LLC bought a new stake in shares of Travelzoo during the 4th quarter worth about $74,000. Squarepoint Ops LLC increased its holdings in shares of Travelzoo by 224.5% during the 4th quarter. Squarepoint Ops LLC now owns 52,288 shares of the information services provider’s stock valued at $372,000 after acquiring an additional 36,174 shares during the last quarter. Finally, Truvestments Capital LLC raised its stake in shares of Travelzoo by 21.2% in the 4th quarter. Truvestments Capital LLC now owns 61,835 shares of the information services provider’s stock valued at $440,000 after acquiring an additional 10,830 shares in the last quarter. Institutional investors and hedge funds own 27.39% of the company’s stock.

About Travelzoo

Travelzoo (NASDAQ: TZOO) is a global internet media company specializing in publishing curated travel, entertainment and local deals to a subscriber base of millions. Through its website, mobile applications and weekly email newsletters, Travelzoo partners with airlines, hotels, cruise lines, tour operators and local merchants to promote time-sensitive offers at discounted rates. The company generates revenue primarily from media commissions, advertising arrangements and marketing services provided to its hotel and resort partners.

Founded in 1998, Travelzoo went public on the NASDAQ in 2003 under the ticker symbol TZOO.