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Orbitz Worldwide, Inc. (OWW)

  • Mon, May 18, 2:26 PM
    • Obitz Worldwide (OWW -1%) and Expedia (EXPE +0.3%) turned slightly lower in midday trading on reports the DOJ is meeting with hotel chains to discuss arrangements with the online travel sites.
    • Government regulators asked the companies for more information and documents related to their business earlier this year.
    • Orbitz and Expedia plan to merge later this year or early in 2016.
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  • Thu, May 7, 9:26 AM
    • Orbitz Worldwide (NYSE:OWW): Q1 EPS of -$0.19 misses by $0.22.
    • Revenue of $220.2M (+4.7% Y/Y) misses by $3.93M.
    • Press Release
  • Wed, Mar. 25, 6:12 PM
    • Expedia (NASDAQ:EXPE) and Orbitz (NYSE:OWW) have both received a request for additional information related to the DOJ's antitrust review of Expedia's planned $1.6B acquisition of Orbitz. Naturally, the companies plan to "respond to the second request and to cooperate fully with the DOJ."
    • The deal, together with Expedia's planned $280M acquisition of partner Travelocity, has sparked fears within the industry Expedia will have an oversized position in the U.S. online travel market, thus giving it excessive leverage with hoteliers. Priceline has a larger share overseas.
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  • Thu, Feb. 12, 12:45 PM
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  • Thu, Feb. 12, 9:15 AM
  • Thu, Feb. 12, 8:33 AM
    • Expedia (NASDAQ:EXPE) is up more than 7% on the news it's buying Orbitz Worldwide (NYSE:OWW) for $12/share in cash in a deal with an enterprise value of about $1.6B.
    • The deal appealed to Expedia for Orbitz's "strong brands and impressive team."
    • OWW is up 22.5% premarket; EXPE +7.7%.
  • Wed, Feb. 11, 2:03 PM
    • Up yesterday in the wake of strong hotel industry earnings reports, Orbitz (OWW +4.3%) is adding to its gains today. Q4 results arrive on Thursday afternoon.
    • Orbitz soared last month after Bloomberg reported the online travel agency is exploring a sale and has drawn interest from various firms, but had more than given back its gains going into yesterday's trading.
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  • Tue, Feb. 10, 10:11 AM
    • Strong earnings reports from Starwood Hotels & Resorts (HOT +6.4%) and Wyndham Worldwide (WYN +7.1%) have given a boost to the lodging sector.
    • The group is showing improved efficiency as demand and pricing stays ahead of the rate of capacity growth.
    • Gainers: Hyatt Hotels (NYSE:H) +3.8%, Marriott International (NASDAQ:MAR) +3.6%, Intercontinental Hotels (NYSE:IHG) +2.7%, Choice Hotels International (NYSE:CHH) +2.1%, Hilton Worldwide (NYSE:HLT) +1.4%, Extended Stay America (NYSE:STAY) +1.2%, Morgans Hotel Group (NASDAQ:MHGC) +1.2%.
    • Associated with the sector, Priceline (PCLN +1.8%) and Orbitz Worldwide (OWW +3.1%) are also trading above market averages.
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  • Tue, Jan. 20, 3:57 PM
    • Sources tell Bloomberg Orbitz (OWW +9.1%) has "drawn interest from private-equity funds and other Internet companies." The company is reportedly working with a financial adviser (unnamed) as it reaches out to prospective buyers.
    • Benchmark's Daniel Kurnos speculates "someone from the outside looking for a a foothold in the industry" would be a logical buyer for Orbitz, whose lack of scale relative to Priceline/Expedia has put it at a disadvantage. He views Google as one such potential suitor.
    • Orbitz was owned by P-E firm Blackstone (through its Travelport unit) before being taken public in 2007. Shares have pared the initial gains they saw due to Bloomberg's report, but remain around $10.
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  • Tue, Jan. 20, 1:47 PM
    • Bloomberg reports Orbitz (NYSE:OWW) is exploring a sale. Shares have jumped above $10 in response.
    • The scoop comes ahead of Orbitz's Q4 report. Larger rivals Priceline and Expedia have been outgrowing the company in recent years.
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  • Thu, Jan. 15, 1:01 PM
    • Orbitz Worldwide (OWW -3.4%) says it welcomes the new relaxed travel restrictions to Cuba from the U.S.
    • The company says it's working with supplier partners to determine how it can be active in the Cuba travel market.
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  • Dec. 31, 2014, 5:26 PM
    • United (NYSE:UAL) and Orbitz (NYSE:OWW) have filed suit against Aktarer Zaman, a 22-year-old programmer who created a site ( that helps travelers save on airfare through a practice known as "hidden city" ticketing.
    • How it works: Travelers buy (cheaper) flights to cities other than their intended destinations, but which have a layover at their intended locales. The traveler flies to the layover destination, and doesn't bother with the rest of the flight.
    • If adopted on a larger scale - many frequent fliers are already well aware of the concept - the use of hidden ticketing could cost airlines (and their online travel agency partners) millions. United/Orbitz claim Skiplagged is promoting "strictly prohibited" travel. Zaman insists he's doing nothing illegal, and is simply exposing an "inefficiency" in airfare pricing.
    • A legal fund established by Zaman has received over $38K in donations.
  • Nov. 20, 2014, 7:39 PM
    • Skift reports Amazon (NASDAQ:AMZN) is "poised to launch its own travel service, featuring booking at independent hotels and resorts near major cities." The service, known as Amazon Travel, will likely go live around New Year's, and initially "feature a curated selection of hotels" near NYC, L.A., and Seattle.
    • Amazon would collect a standard 15% commission from hoteliers who would upload inventory and set prices. A source says hoteliers would normally list properties at rack rates, but would also be free to discount.
    • Though limited in scope, Amazon's service would put the company into competition with online travel agencies (OTAs) such as Priceline (NASDAQ:PCLN), Expedia (NASDAQ:EXPE), and Orbitz (NYSE:OWW). OTAs have already seen Google, the recipient of much of their ad spend, encroach on their turf a bit with new services.
    • As Skift notes, Amazon could appeal to independent/boutique hotels with less marketing reach than major chains. Amazon, meanwhile, could leverage its user data to cross-sell or bundle various goods.
    • Separately, Amazon has inked a 17-year lease to rent 470K sq. feet of office space (effectively an entire 12-story building) across from the Empire State Building. The WSJ previously reported Amazon wants the building to be the location of its first brick-and-mortar store, and also serve as a warehouse and order pickup/return hub.
  • Nov. 6, 2014, 11:37 AM
    • In addition to missing Q3 EPS estimates (while posting in-line revenue), Orbitz (NYSE:OWW) is guiding for 9%-10% full-year revenue growth, below a 10.7% consensus.
    • The online travel agency is also initially guiding for mid-single digit 2015 revenue growth; consensus is at 6.1%. Adjusted EBITDA is expected to grow 8%-10% in 2014, and at a mid-to-high single-digit % in 2015.
    • Gross bookings rose 14% Y/Y in Q3, and hotel room nights 19%. Standalone hotel revenue +26% Y/Y; standalone air +6%; vacation packages +5; ads/media +4%; everything else +17%. U.S. revenue +17% international +7%.
    • Net revenue margin was flat Y/Y at 8%. Cost of revenue rose to 19.6% of revenue from 17.7% a year ago; SG&A spend fell to 28% from 30.6%, and marketing spend (much of it on Google) rose to 36.5% from 33.3%.
    • Bigger rival Priceline recently provided soft Q4 guidance. Likewise, TripAdvisor recently cut its full-year click (search ad) revenue guidance, citing hotel shopper seasonality.
    • Q3 results, PR
    | 1 Comment
  • Nov. 6, 2014, 9:13 AM
    • Orbitz Worldwide (NYSE:OWW): Q3 EPS of $0.08 may not be comparable to consensus of $0.14.
    • Revenue of $253.14M (+14.6% Y/Y) in-line.
    • Shares -1.89% PM.
    • Press Release
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  • Oct. 14, 2014, 11:27 AM
    • FBR has upgraded Orbitz (NYSE:OWW) to Outperform, and set a $9 target.
    • The ratings hike makes FBR an outlier: Only 3 firms had bullish ratings on Orbitz going into today (per Thomson/First Call); 10 had neutral ratings, and 1 was bearish.
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Company Description
Orbitz Worldwide Inc is an online travel company. It provides a platform to research, plan & book a travel products & services including hotels, flights, vacation packages, car rentals, cruises, travel insurance, destination services & event tickets.
Sector: Services
Country: United States