# TripAdvisor (TRIP.US)

Canonical: https://gigainvestors.com/s/TRIP

Analysis as of: 2026-10-16T07:32:29.710Z. Financial observations: FY2008–FY2025.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $9.39 per share; close as of 2026-10-15.

Estimated value: low $10.13 per share, central $10.57 per share, high $11.16 per share. Buy at or below the central value $10.57 per share. Valuation as of 2026-10-16T07:32:29.710Z; scenarios are not confidence intervals.

Expected annual return: 13.5% at the stated quote. About 13.5% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 3

- Operating margin variation: 56.67×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.11×

- FY2017: 0.08×

- FY2018: 0.11×

- FY2019: 0.12×

- FY2020: -0.54×

- FY2021: -0.15×

- FY2022: 0.07×

- FY2023: 0.07×

- FY2024: 0.05×

- FY2025: 0.04×

### moat: fail

- Years with nonpositive invested capital use equity plus debt and leases; positive earnings with no positive capital are shown above 100%.

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 30.5pp below the typical margin (limit 4pp)

- ROIC, median of available years: 32.4%

- ROIC, second-lowest year: -58.8%

- Typical minus recent gross margin: 30.5 pp

- Typical gross margin (annual median): 92.5%

- Recent gross margin (lower of latest and 3-year median): 62.0%

- Years with nonpositive capital: 3

- Capital spending / revenue: 4.2%

- ROIC including acquisitions, ten-year median: 5.0%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 63.7%

- FY2017: 60.1%

- FY2018: 88.5%

- FY2019: 71.9%

- FY2020: -108.3%

- FY2021: -58.8%

- FY2022: 3.7%

- FY2023: 4.6%

- FY2024: 3.2%

- FY2025: >100%

### economics: fail

- incremental invested capital return below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $70M

- Net income, five-year total: -$73M

- Return on incremental invested capital: 0.0%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -4.2 pp

- Working capital / revenue, final three-year average: 9.2%

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: -$91M

- FY2022: $61M

- FY2023: $34M

- FY2024: $16M

- FY2025: $50M

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 63.7% vs 4.6%

- Per-share earnings: 0.82 to 0.07 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -1.1%

- Ordinary dilution, 5-year annual growth: -0.6%

- Market cap gain: -$4.4B

- Cumulative retained earnings: -$629M

- Diluted shares, 10-year annual growth: -1.1%

- Diluted shares, 5-year annual growth: -0.6%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -26.6%

- Per-share value change: -$0.75

- Per-share value, starting three-year median: $0.82

- Per-share value, ending three-year median: $0.07

- Buybacks concentrated in cheaper years (correlation): 0.12

- Average buyback yield: 5.1%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: $208M

- Cumulative net income, 10 years: -$22M

- ROIC, first three-year median: 63.7%

- ROIC, last three-year median: 4.6%

Chart: Earnings per share; fiscal year observations.

- FY2016: $0.82

- FY2017: -$0.14

- FY2018: $0.80

- FY2019: $0.90

- FY2020: -$2.14

- FY2021: -$1.08

- FY2022: $0.14

- FY2023: $0.07

- FY2024: $0.03

- FY2025: $0.31

### accounting: fail

- restructuring or one-time charges in at least three of five years

- stock compensation exceeds 15% of operating cash flow

- Sloan accruals: -7.8%

- Receivables to sales index (DSRI): 0.98×

- Restructuring years, last five: 3

- Stock compensation / operating cash flow: 44.1%

- Earnings backed by cash: Yes

- Operating cash / earnings: 6.13×

- Accounting red flags: 2

- Goodwill and intangibles / equity: 1.36×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -9.0%

- FY2017: -11.3%

- FY2018: -13.5%

- FY2019: -15.0%

- FY2020: -4.8%

- FY2021: -11.2%

- FY2022: -14.8%

- FY2023: -8.9%

- FY2024: -5.4%

- FY2025: -7.8%

## Holders

- [David Einhorn](https://gigainvestors.com/GLRE): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Mason Hawkins](https://gigainvestors.com/SE): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 72% since Oct 2021 · "BTIG downgrades TripAdvisor on AI risks, sees limited catalysts after TheFork sale" (finance.yahoo.com, Jul 2026) · sales +3.1%

Story as of 2026-10-16T09:59:43.131Z; price observation 2026-10-15.

Price needs cash profits to shrink 4.1% a year for ten years

- 2026-02-13: TRIP's Q4 Earnings Miss Estimates, Hotel Weakness Drags Results ([finance.yahoo.com](https://finance.yahoo.com/news/trips-q4-earnings-miss-estimates-150400010.html))

- 2026-06-15: Tripadvisor Shares Surge After $700 Million Sale of TheFork to American Express (TRIP) ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/tripadvisor-shares-surge-700-million-133113168.html))

- 2026-07-21: BTIG downgrades TripAdvisor on AI risks, sees limited catalysts after TheFork sale ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/btig-downgrades-tripadvisor-ai-risks-131430611.html))

- 2026-08-06: Tripadvisor (TRIP) Reported Lower Q2 Revenue And Profit, Is The Stock Still Undervalued? ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/tripadvisor-trip-reported-lower-q2-161139627.html))

### Sales · FY2024–2025

sales +3.1%; source https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm; observed 2026-02-13.

- FY2016: $1.5B 

- FY2017: $1.6B 

- FY2018: $1.6B 

- FY2019: $1.6B 

- FY2020: $604M 

- FY2021: $902M 

- FY2022: $1.5B 

- FY2023: $1.8B 

- FY2024: $1.8B 

- FY2025: $1.9B 

### Gross margin · FY2025

gross margin 62%; source https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm; observed 2026-02-13.

- FY2016: 95.2% 

- FY2017: 95.4% 

- FY2018: 94.7% 

- FY2019: 94.0% 

- FY2020: 90.9% 

- FY2021: 91.8% 

- FY2022: 92.2% 

- FY2023: 91.7% 

- FY2024: 92.9% 

- FY2025: 62.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in travel services; annual sales are USD 1.9 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm (filed 2026-02-13); FY2025: revenue 1891000000; grossProfit 1173000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 62% to 92.9% during 2023–25; it earns 32.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2023: grossProfit / revenue = 91.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2024: grossProfit / revenue = 92.9%.

- Source: https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm (filed 2026-02-13); FY2025: grossProfit / revenue = 62%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); 10-year return on capital observations [[2016,0.6372972454170267],[2017,0.6014925373134329],[2018,0.8854206807964032],[2019,0.7192307692307692],[2020,-1.0829583333333332],[2021,-0.5880113636363636],[2022,0.036675977653631286],[2023,0.04593381940549635],[2024,0.0323943661971831],[2025,4.183006535947712]]; median 0.3237131783594646. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 92% gross margin through 2022 cost inflation.

- Source: https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm (filed 2026-02-13); Gross margin observations: [[2021,0.917960088691796],[2022,0.9222520107238605],[2023,0.9166666666666666]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 5 of 10 years; bought back USD 501 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2016: growth capex 0; upkeep 72000000; cash acquisitions 43000000; owner earnings 149000000. Growth capex plus acquisitions / owner earnings = 0.28859060402684567.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2017: growth capex 0; upkeep 64000000; owner earnings 28000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2018: growth capex 0; upkeep 61000000; cash acquisitions 24000000; owner earnings 168000000. Growth capex plus acquisitions / owner earnings = 0.14285714285714285.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2019: growth capex 0; upkeep 83000000; cash acquisitions 110000000; owner earnings 169000000. Growth capex plus acquisitions / owner earnings = 0.650887573964497.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2022: growth capex 0; upkeep 56000000; cash acquisitions 0; owner earnings 61000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2023: growth capex 0; upkeep 63000000; owner earnings 34000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2024: growth capex 0; upkeep 74000000; owner earnings 16000000. Growth capex / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm (filed 2026-02-13); FY2025: growth capex 0; upkeep 82000000; owner earnings 50000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); Dividend observations: [[2016,488000000],[2017,488000000],[2018,488000000],[2019,488000000],[2020,0],[2021,36000000],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm (filed 2026-02-13); FY2025: cash repurchases 501000000 USD.

### Are managers owners

Insiders own 1.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); TRIP.US SharesStats.PercentInsiders = 1.3379999999999999 percentage points; cache date 2026-10-15.

### What the price says

The price assumes cash profits shrink 4.1% yearly over ten years; actual decline was 11.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); Ten-year compound average after fade. Initial solved rate -0.06980588559745382. Price 9.39; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 1.3564709831674282 → FY2025 0.3818134612153886. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $64.48 per share

- 2016-11: $48.28 per share

- 2016-12: $46.37 per share

- 2017-01: $52.90 per share

- 2017-02: $41.47 per share

- 2017-03: $43.16 per share

- 2017-04: $45.01 per share

- 2017-05: $38.51 per share

- 2017-06: $38.20 per share

- 2017-07: $39.02 per share

- 2017-08: $42.73 per share

- 2017-09: $40.53 per share

- 2017-10: $37.50 per share

- 2017-11: $34.62 per share

- 2017-12: $34.46 per share

- 2018-01: $34.67 per share

- 2018-02: $40.08 per share

- 2018-03: $40.89 per share

- 2018-04: $37.42 per share

- 2018-05: $52.14 per share

- 2018-06: $55.71 per share

- 2018-07: $57.99 per share

- 2018-08: $54.31 per share

- 2018-09: $51.07 per share

- 2018-10: $52.14 per share

- 2018-11: $64.06 per share

- 2018-12: $53.94 per share

- 2019-01: $57.38 per share

- 2019-02: $53.17 per share

- 2019-03: $51.45 per share

- 2019-04: $53.23 per share

- 2019-05: $42.27 per share

- 2019-06: $46.29 per share

- 2019-07: $44.15 per share

- 2019-08: $37.99 per share

- 2019-09: $38.68 per share

- 2019-10: $40.40 per share

- 2019-11: $28.40 per share

- 2019-12: $30.38 per share

- 2020-01: $27.32 per share

- 2020-02: $23.45 per share

- 2020-03: $17.39 per share

- 2020-04: $19.97 per share

- 2020-05: $19.28 per share

- 2020-06: $19.01 per share

- 2020-07: $20.23 per share

- 2020-08: $23.37 per share

- 2020-09: $19.59 per share

- 2020-10: $19.11 per share

- 2020-11: $26.10 per share

- 2020-12: $28.78 per share

- 2021-01: $30.97 per share

- 2021-02: $49.62 per share

- 2021-03: $53.79 per share

- 2021-04: $47.13 per share

- 2021-05: $43.45 per share

- 2021-06: $40.30 per share

- 2021-07: $37.95 per share

- 2021-08: $35.00 per share

- 2021-09: $33.85 per share

- 2021-10: $32.97 per share

- 2021-11: $25.86 per share

- 2021-12: $27.26 per share

- 2022-01: $27.15 per share

- 2022-02: $25.44 per share

- 2022-03: $27.12 per share

- 2022-04: $25.67 per share

- 2022-05: $24.84 per share

- 2022-06: $17.80 per share

- 2022-07: $19.01 per share

- 2022-08: $23.80 per share

- 2022-09: $22.08 per share

- 2022-10: $23.62 per share

- 2022-11: $20.39 per share

- 2022-12: $17.98 per share

- 2023-01: $23.30 per share

- 2023-02: $21.57 per share

- 2023-03: $19.86 per share

- 2023-04: $17.73 per share

- 2023-05: $15.56 per share

- 2023-06: $16.49 per share

- 2023-07: $18.65 per share

- 2023-08: $15.11 per share

- 2023-09: $16.58 per share

- 2023-10: $14.76 per share

- 2023-11: $17.83 per share

- 2023-12: $21.53 per share

- 2024-01: $21.60 per share

- 2024-02: $26.82 per share

- 2024-03: $27.79 per share

- 2024-04: $26.33 per share

- 2024-05: $18.35 per share

- 2024-06: $17.81 per share

- 2024-07: $17.63 per share

- 2024-08: $14.51 per share

- 2024-09: $14.49 per share

- 2024-10: $16.04 per share

- 2024-11: $14.33 per share

- 2024-12: $14.77 per share

- 2025-01: $17.56 per share

- 2025-02: $14.80 per share

- 2025-03: $14.17 per share

- 2025-04: $12.45 per share

- 2025-05: $14.24 per share

- 2025-06: $13.05 per share

- 2025-07: $17.49 per share

- 2025-08: $17.42 per share

- 2025-09: $16.26 per share

- 2025-10: $16.06 per share

- 2025-11: $14.87 per share

- 2025-12: $14.56 per share

- 2026-01: $13.29 per share

- 2026-02: $10.11 per share

- 2026-03: $10.66 per share

- 2026-04: $11.13 per share

- 2026-05: $11.18 per share

- 2026-06: $13.71 per share

- 2026-07: $14.17 per share

- 2026-08: $9.52 per share

- 2026-09: $8.37 per share

- 2026-10: $9.39 per share

## Annual estimated value (USD per share)

- FY2016: low $24.74 per share, central $27.50 per share, high $31.16 per share

- FY2017: low $20.89 per share, central $23.11 per share, high $26.06 per share

- FY2018: low $20.81 per share, central $27.79 per share, high $31.85 per share

- FY2019: low $14.66 per share, central $16.40 per share, high $18.71 per share

- FY2020: low $7.94 per share, central $8.62 per share, high $9.52 per share

- FY2021: low $6.43 per share, central $6.61 per share, high $6.85 per share

- FY2022: low $11.38 per share, central $12.01 per share, high $12.85 per share

- FY2023: low $9.69 per share, central $10.04 per share, high $10.51 per share

- FY2024: low $8.29 per share, central $8.46 per share, high $8.68 per share

- FY2025: low $10.62 per share, central $11.03 per share, high $11.58 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1526520/000119312526051281/trip-20251231.htm); period 2025-12-31, filed 2026-02-13.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.