Description

Expedia Group, Inc. operates as an online travel company worldwide. It operates through four segments: Core Online Travel Agencies, Trivago, Vrbo, and Egencia. Its brand portfolio include Brand Expedia, a full-service online travel brand with localized websites; Hotels.com for marketing and distributing lodging accommodations; Vrbo, an online marketplace for the alternative accommodations; Expedia Partner Solutions, a business-to-business brand that provides travel offerings for various airlines and hotels, online and offline travel agencies, loyalty and corporate travel companies, and various consumer brands; and Egencia, which provides corporate travel management services. The company's brand portfolio also comprise Orbitz, Travelocity, and CheapTickets travel Websites; ebookers, a full-service travel brand; Hotwire, an online travel Website; Expedia Group Media Solutions that provides media partnerships and digital marketing solutions; trivago, an online hotel metasearch platform; and Expedia Local Expert, a provider of online and in-market concierge services, activities, experiences, and ground transportation. In addition, its brand portfolio consists of CarRentals.com, an online car rental booking service; Classic Vacations, a luxury travel specialist; Expedia CruiseShipCenters, a provider of advice for travelers booking cruises and vacations; and SilverRail, a provider of a rail retail and distribution platform connecting rail carriers and suppliers to online and offline travel distributors. Further, the company provides online travel services through its Wotif.com, lastminute.com.au, travel.com.au, Wotif.co.nz, and lastminute.co.nz brands; loyalty programs; and advertising and media services. It serves leisure and corporate travelers. The company was formerly known as Expedia, Inc. and changed its name to Expedia Group, Inc. in March 2018. Expedia Group, Inc. was founded in 1996 and is headquartered in Seattle, Washington.

Statistics (YTD)

What do these metrics mean? [Read More] [Hide]

TotalReturn:

'Total return, when measuring performance, is the actual rate of return of an investment or a pool of investments over a given evaluation period. Total return includes interest, capital gains, dividends and distributions realized over a given period of time. Total return accounts for two categories of return: income including interest paid by fixed-income investments, distributions or dividends and capital appreciation, representing the change in the market price of an asset.'

Using this definition on our asset we see for example:
  • The total return over 5 years of Expedia Group is 141%, which is larger, thus better compared to the benchmark SPY (109.3%) in the same period.
  • Compared with SPY (34.3%) in the period of the last 3 years, the total return, or performance of -14.1% is lower, thus worse.

CAGR:

'Compound annual growth rate (CAGR) is a business and investing specific term for the geometric progression ratio that provides a constant rate of return over the time period. CAGR is not an accounting term, but it is often used to describe some element of the business, for example revenue, units delivered, registered users, etc. CAGR dampens the effect of volatility of periodic returns that can render arithmetic means irrelevant. It is particularly useful to compare growth rates from various data sets of common domain such as revenue growth of companies in the same industry.'

Using this definition on our asset we see for example:
  • Looking at the compounded annual growth rate (CAGR) of 19.3% in the last 5 years of Expedia Group, we see it is relatively greater, thus better in comparison to the benchmark SPY (16%)
  • Looking at annual performance (CAGR) in of -5% in the period of the last 3 years, we see it is relatively smaller, thus worse in comparison to SPY (10.4%).

Volatility:

'Volatility is a rate at which the price of a security increases or decreases for a given set of returns. Volatility is measured by calculating the standard deviation of the annualized returns over a given period of time. It shows the range to which the price of a security may increase or decrease. Volatility measures the risk of a security. It is used in option pricing formula to gauge the fluctuations in the returns of the underlying assets. Volatility indicates the pricing behavior of the security and helps estimate the fluctuations that may happen in a short period of time.'

Which means for our asset as example:
  • Looking at the 30 days standard deviation of 47.2% in the last 5 years of Expedia Group, we see it is relatively larger, thus worse in comparison to the benchmark SPY (18%)
  • During the last 3 years, the volatility is 46.4%, which is higher, thus worse than the value of 18.8% from the benchmark.

DownVol:

'Downside risk is the financial risk associated with losses. That is, it is the risk of the actual return being below the expected return, or the uncertainty about the magnitude of that difference. Risk measures typically quantify the downside risk, whereas the standard deviation (an example of a deviation risk measure) measures both the upside and downside risk. Specifically, downside risk in our definition is the semi-deviation, that is the standard deviation of all negative returns.'

Applying this definition to our asset in some examples:
  • The downside volatility over 5 years of Expedia Group is 30.8%, which is higher, thus worse compared to the benchmark SPY (12.5%) in the same period.
  • Compared with SPY (13%) in the period of the last 3 years, the downside deviation of 32.4% is greater, thus worse.

Sharpe:

'The Sharpe ratio is the measure of risk-adjusted return of a financial portfolio. Sharpe ratio is a measure of excess portfolio return over the risk-free rate relative to its standard deviation. Normally, the 90-day Treasury bill rate is taken as the proxy for risk-free rate. A portfolio with a higher Sharpe ratio is considered superior relative to its peers. The measure was named after William F Sharpe, a Nobel laureate and professor of finance, emeritus at Stanford University.'

Using this definition on our asset we see for example:
  • Compared with the benchmark SPY (0.75) in the period of the last 5 years, the Sharpe Ratio of 0.36 of Expedia Group is smaller, thus worse.
  • Compared with SPY (0.42) in the period of the last 3 years, the ratio of return and volatility (Sharpe) of -0.16 is lower, thus worse.

Sortino:

'The Sortino ratio measures the risk-adjusted return of an investment asset, portfolio, or strategy. It is a modification of the Sharpe ratio but penalizes only those returns falling below a user-specified target or required rate of return, while the Sharpe ratio penalizes both upside and downside volatility equally. Though both ratios measure an investment's risk-adjusted return, they do so in significantly different ways that will frequently lead to differing conclusions as to the true nature of the investment's return-generating efficiency. The Sortino ratio is used as a way to compare the risk-adjusted performance of programs with differing risk and return profiles. In general, risk-adjusted returns seek to normalize the risk across programs and then see which has the higher return unit per risk.'

Applying this definition to our asset in some examples:
  • The ratio of annual return and downside deviation over 5 years of Expedia Group is 0.55, which is lower, thus worse compared to the benchmark SPY (1.07) in the same period.
  • Looking at ratio of annual return and downside deviation in of -0.23 in the period of the last 3 years, we see it is relatively lower, thus worse in comparison to SPY (0.6).

Ulcer:

'The Ulcer Index is a technical indicator that measures downside risk, in terms of both the depth and duration of price declines. The index increases in value as the price moves farther away from a recent high and falls as the price rises to new highs. The indicator is usually calculated over a 14-day period, with the Ulcer Index showing the percentage drawdown a trader can expect from the high over that period. The greater the value of the Ulcer Index, the longer it takes for a stock to get back to the former high.'

Applying this definition to our asset in some examples:
  • Looking at the Ulcer Ratio of 34 in the last 5 years of Expedia Group, we see it is relatively greater, thus worse in comparison to the benchmark SPY (8.45 )
  • Compared with SPY (5.75 ) in the period of the last 3 years, the Ulcer Ratio of 36 is higher, thus worse.

MaxDD:

'Maximum drawdown is defined as the peak-to-trough decline of an investment during a specific period. It is usually quoted as a percentage of the peak value. The maximum drawdown can be calculated based on absolute returns, in order to identify strategies that suffer less during market downturns, such as low-volatility strategies. However, the maximum drawdown can also be calculated based on returns relative to a benchmark index, for identifying strategies that show steady outperformance over time.'

Which means for our asset as example:
  • Looking at the maximum drop from peak to valley of -60.9 days in the last 5 years of Expedia Group, we see it is relatively lower, thus worse in comparison to the benchmark SPY (-24.5 days)
  • During the last 3 years, the maximum DrawDown is -55.2 days, which is smaller, thus worse than the value of -18.8 days from the benchmark.

MaxDuration:

'The Drawdown Duration is the length of any peak to peak period, or the time between new equity highs. The Max Drawdown Duration is the worst (the maximum/longest) amount of time an investment has seen between peaks (equity highs). Many assume Max DD Duration is the length of time between new highs during which the Max DD (magnitude) occurred. But that isn’t always the case. The Max DD duration is the longest time between peaks, period. So it could be the time when the program also had its biggest peak to valley loss (and usually is, because the program needs a long time to recover from the largest loss), but it doesn’t have to be'

Applying this definition to our asset in some examples:
  • Looking at the maximum days below previous high of 798 days in the last 5 years of Expedia Group, we see it is relatively higher, thus worse in comparison to the benchmark SPY (488 days)
  • During the last 3 years, the maximum days below previous high is 655 days, which is higher, thus worse than the value of 199 days from the benchmark.

AveDuration:

'The Drawdown Duration is the length of any peak to peak period, or the time between new equity highs. The Avg Drawdown Duration is the average amount of time an investment has seen between peaks (equity highs), or in other terms the average of time under water of all drawdowns. So in contrast to the Maximum duration it does not measure only one drawdown event but calculates the average of all.'

Which means for our asset as example:
  • The average days under water over 5 years of Expedia Group is 279 days, which is larger, thus worse compared to the benchmark SPY (118 days) in the same period.
  • Compared with SPY (45 days) in the period of the last 3 years, the average days below previous high of 291 days is greater, thus worse.

Performance (YTD)

Historical returns have been extended using synthetic data.

Allocations ()

Allocations

Returns (%)

  • Note that yearly returns do not equal the sum of monthly returns due to compounding.
  • Performance results of Expedia Group are hypothetical and do not account for slippage, fees or taxes.