
Expedia: At 10x Price To Free Cash Flow, I'm Not Afraid Of AI
Expedia has doubled net income margin to near 10%, signaling a significant profitability turnaround and narrowing the gap with Booking.com. Revenue growth of ~9% since 2023, disciplined SG&A control, and improved operating leverage have driven EBITDA above $3B and EBITDA margin past 20%. Free cash flow now exceeds $3.0B, with Expedia trading at less than 10x market cap to FCF, underpinning value credentials. The company can achieve $4.0B FCF in the coming years.


















