Why Shares of Priceline Group Are Tumbling Today

Shares of online travel company Priceline Group (NASDAQ: PCLN) slumped on Tuesday following its third-quarter report. While Priceline beat analyst estimates for both revenue and earnings, the company's fourth-quarter guidance fell short of expectations. The stock was down about 11.5% at 11:30 a.m. EST.

Priceline reported third-quarter revenue of $4.43 billion, up 20.1% year over year and about $90 million higher than the average analyst estimate. Gross bookings jumped 18% year over year to $21.8 billion, driven by an 18.6% increase in room nights and a 5.5% increase in rental car days. Airline tickets sold tumbled 11.8%, extending a long string of declines.

Image source: Priceline Group.

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Source: Fool.com