TripAdvisor Inc

LendingTree shares fell 7.8% to close at $24.02 after the Wall Street Journal reported that Meta's Muse can buy goods online, respond to emails, and complete other tasks a user authorizes, threatening the lead-generation model that pays LendingTree when consumers visit its site to request a loan. Barron's Anita Hamilton wrote that the same dynamic is already hitting travel sites because Muse can book flights and places to stay, with Expedia, Booking Holdings, Tripadvisor, and Airbnb all falling. Bloomberg Intelligence analysts Mandeep Singh and William Tong wrote that if agents take 5% to 10% of travel, ride-hailing, and delivery business, the combined revenue loss could exceed $5 billion, Barron's reported, though that figure is a scenario for travel and delivery rather than a measured loss at either company. The move extends a broader selloff across lead-generation and marketplace names including EverQuote, CarGurus, Cars.com, Instacart, Expedia, and Booking Holdings, whose models depend on shoppers still arriving on a site where ads and commissions are charged. LendingTree is down 53.2% since the beginning of the year and trades 65.8% below its 52-week high of $70.56 from September 2025.

Shares of online travel agency Expedia fell 7.2% in the afternoon session after Barron's Anita Hamilton reported that Expedia, Booking Holdings, Tripadvisor, and Airbnb were declining because Meta's Muse can book flights and places to stay. Expedia was down 5.5%, to $265.60, by midday Tuesday, and consumer internet was down 4.92% at Wednesday's open, with Expedia weaker than that. Bloomberg Intelligence analysts Mandeep Singh and William Tong wrote that if agents take 5% to 10% of travel, ride-hailing, and delivery business, the combined revenue loss could exceed $5 billion, though that figure is a scenario rather than a result. The move follows a 4.4% drop one day earlier, when Muse rose to the top free-app position in U.S. app stores, prompting concerns over structural disruption to digital marketplaces and advertising revenues; Amazon has blocked Muse from shopping on Amazon.com and sued Perplexity over automated shopping through its Comet browser. Expedia is down 7.4% since the beginning of the year and, at $262.01 per share, trades 22.7% below its 52-week high of $339.13 from August 2026.

Tripadvisor reported second-quarter revenue of US$441.9 million, down from US$476.0 million a year earlier, with net income falling to US$22.4 million alongside weaker earnings per share. Management also announced a plan to sell TheFork for US$700 million, a move that directly affects how the company funds and prioritizes its experiences and AI initiatives. The results highlight AI-driven shifts in travel search and intensifying competition as Tripadvisor reassesses the future of core assets like Viator and hotel metasearch. The proposed sale sits at the heart of the catalyst around experiences scaling fast enough to offset hotel and advertising weakness.

Tripadvisor stock still screens as overvalued despite the agreed US$700 million sale of TheFork to American Express. The company trades on a price-to-earnings ratio of about 85.8 times, far above the Interactive Media and Services industry average of roughly 14.2 times and a peer average of about 19.8 times. A fair P/E multiple implied by broader checks is about 28.8 times, making the current level roughly three times that benchmark. The sale can support valuation by simplifying the business and strengthening the balance sheet, but the key risk is whether refocusing on the core Experiences platform and Viator can justify current expectations. With a value score of 2 out of 6 checks, Tripadvisor leans toward the expensive side rather than looking like an obvious bargain.

Longleaf Partners Small-Cap Fund continued to hold Tripadvisor in the first quarter of 2026, even as the position detracted from performance. The fund noted that the legacy Tripadvisor business has deteriorated more than initially estimated a year ago, now representing closer to 10% of its value versus roughly 20% previously, while Viator and TheFork have grown. Macro travel trends worsened during the quarter, but the fund believes the company is now taking steps to realize value per share and sees a variety of strategic options ahead. Tripadvisor's revenue fell 4% year-over-year to $382 million, though consolidated adjusted EBITDA of $22 million exceeded expectations.