Travelzoo (NASDAQ:TZOO) Downgraded by Zacks Research to Strong Sell

Travelzoo (NASDAQ:TZOO) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Monday,Zacks.com reports.

A number of other brokerages have also recently commented on TZOO. Weiss Ratings restated a “hold (c)” rating on shares of Travelzoo in a research note on Friday, January 9th. Barrington Research dropped their target price on Travelzoo from $13.00 to $8.00 and set an “outperform” rating on the stock in a report on Friday, February 20th. UBS Group set a $23.00 price target on Travelzoo in a research report on Wednesday, November 19th. Finally, Ascendiant Capital Markets lowered 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. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Travelzoo presently has a consensus rating of “Hold” and an average target price of $18.00.

Travelzoo Trading Down 1.2%

Shares of TZOO stock opened at $6.36 on Monday. The company’s fifty day simple moving average is $6.11 and its 200-day simple moving average is $7.82. Travelzoo has a 52 week low of $4.72 and a 52 week high of $16.56. The company has a market cap of $69.51 million, a PE ratio of 16.74 and a beta of 0.84.

Travelzoo (NASDAQ:TZOO) last announced its quarterly 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 business had revenue of $22.47 million for the quarter, compared to analysts’ expectations of $22.54 million. Equities research analysts expect that Travelzoo will post 1.09 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Holger Bartel acquired 100,000 shares of the firm’s stock in a transaction on Monday, February 23rd. The stock was bought at an average cost of $5.49 per share, with a total value of $549,000.00. Following the acquisition, the chief executive officer directly owned 160,000 shares in the company, valued at approximately $878,400. The trade was a 166.67% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, major shareholder Azzurro Capital Inc sold 40,000 shares of the business’s stock in a transaction dated Friday, December 26th. The stock was sold at an average price of $6.97, for a total transaction 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 $25,528,991.12. The trade was a 1.08% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have acquired 200,000 shares of company stock worth $1,077,000 and have sold 102,500 shares worth $727,150. Corporate insiders own 43.20% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the company. Millennium Management LLC increased its holdings in shares of Travelzoo by 299.8% in the 1st quarter. Millennium Management LLC now owns 309,097 shares of the information services provider’s stock valued at $4,213,000 after acquiring an additional 231,790 shares during the last quarter. Goldman Sachs Group Inc. increased its stake in Travelzoo by 170.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 145,848 shares of the information services provider’s stock valued at $1,038,000 after purchasing an additional 91,932 shares during the last quarter. Geode Capital Management LLC increased its stake in Travelzoo by 113.8% during the second quarter. Geode Capital Management LLC now owns 157,267 shares of the information services provider’s stock valued at $2,002,000 after purchasing an additional 83,719 shares during the last quarter. Los Angeles Capital Management LLC acquired a new stake in shares of Travelzoo during the second quarter worth $702,000. Finally, Marshall Wace LLP bought a new position in shares of Travelzoo in the 2nd quarter worth about $504,000. Institutional investors 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.