Expedia’s stock fell 7.5% on Friday after the company reported first-quarter revenue of $2.98 billion, missing Wall Street expectations of $3.01 billion, according to LSEG data. The revenue shortfall highlights weakening demand in the U.S., where Expedia holds a larger market share than many peers.
The miss comes as broader travel industry signals point to consumer pullback ahead of the summer season, with elevated interest rates, an ongoing tariff war, and economic uncertainty dampening discretionary spending.
Expedia joins industry players like Hilton — which recently cut its annual room revenue growth forecast — and Airbnb, which reported a shortening booking window, a key indicator of consumer hesitation.
“It’s all just a bit more pronounced in the case of Expedia with a bigger U.S. presence than peers,” said BTIG analyst Jake Fuller.
The slowdown suggests potential headwinds for travel companies reliant on North American markets, as travelers grow increasingly price-sensitive.
