Priceline Keeps Growing, but Guidance Again Disappoints
Some companies develop a pattern in how they communicate their financial results to investors. Online travel specialist Priceline Group (NASDAQ: PCLN) takes a predictable tack toward reporting its financial picture, and quarter after quarter, short-term-minded traders overreact to what they see as disappointing numbers. Yet over time, the company has become a giant in the industry, responding well to threats from different corners of the market and still maintaining strong long-term growth trends.
Coming into Tuesday's second-quarter financial report, Priceline investors wanted to see the sharp gains in revenue and earnings that they're used to having the company deliver. Priceline largely met or exceeded those expectations, but the guidance that it issued for the current quarter was less than most had hoped. Let's take a closer look at Priceline Group and at what long-term investors should take from the report.
Image source: Priceline Group.
Source: Fool.com
