Like most of the travel sector, Trivago (NASDAQ: TRVG) has been hit hard by the pandemic, as revenue has fallen sharply from pre-pandemic levels. The stock is mostly unchanged from where it was two years ago, but the company has taken significant strides to cut costs and restructure its business, though those changes have been overshadowed by the challenges from COVID.
In its fourth-quarter earnings report, the company rebounded from the depths of the pandemic a year ago and delivered strong earnings before interest, taxes, depreciation, and amortization ( EBITDA ) margins. Revenue was up 176% to 89.1 million euros, though that was still down 43% from Q4 2019. Adjusted EBITDA margin also hit a record for the accommodation-booking specialist at 22%, with EBITDA reaching 19.6 million euros.
While the market has mostly forgotten Trivago -- the stock barely moved on the report on Wednesday -- 2022 could mark a comeback for the banged-up travel stock . Here are three reasons why.
For further details see:
3 Reasons Why Trivago Could Bounce Back in 2022