Why Expedia, Chesapeake Energy, and Genesco Slumped Today
The major benchmarks were mixed today, though the indexes barely budged from where they began. Sentiment was muted as investors digested the devastation wrought on the U.S. Gulf Coast by Hurricane Harvey, which dumped 16 inches of rain on Houston within the first 24 hours while producing sustained winds that exceeded 130 miles per hour. Adding to the gloom was bad news from a number of individual companies. Expedia, Inc. (NASDAQ: EXPE), Chesapeake Energy Corporation (NYSE: CHK), and Genesco Inc. (NYSE: GCO) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.
Shares of Expedia fell 4.5% today on reports that CEO Dara Khosrowshahi has been selected by Uber's board to head the troubled ride-hailing company. The offer has been confirmed in an email sent to Expedia employees by Chairman Barry Diller. The note indicated that Khosrowshahi was expected to accept the offer.
Expedia shareholders have done well during Khosrowshahi's tenure with the travel-services company. In the 12 years since he took the helm, the company's revenue has more than quadrupled, from $2.1 billion in 2005 to $8.7 billion in 2016, and its stock price has tripled, doubling the performance of the broader market.
Source: Fool.com