12:20 PM EDT, 05/09/2025 (MT Newswires) -- Expedia Group ( EXPE ) is likely to meet its core profit margin targets amid cost controls even if travel demand trends continue to soften, Oppenheimer said in a Friday client note.

The travel booking platform now expects its full-year earnings before interest, taxes, depreciation and amortization margin to expand by 75 to 100 basis points, up from its previous outlook of 50-basis-point growth, Chief Financial Officer Scott Schenkel said during a late Thursday earnings call, according to a FactSet transcript. However, management cut the revenue growth guidance to a range of 2% to 4% from 4% to 6% previously.

For the ongoing quarter, Expedia ( EXPE ) expects revenue growth of 3% to 5%, and an EBITDA margin expansion of about 75 to 100 basis points.

Oppenheimer said Expedia ( EXPE ) has "tight cost control" to achieve its EBITDA targets even if trends deteriorate further. The brokerage maintained its outperform rating on the stock but slashed its price target to $210 from $230.

Expedia's ( EXPE ) shares were down 6.7% in Friday trading.

For the first quarter ended March 31, it reported adjusted per-share earnings of $0.40, up from $0.21 a year earlier but below the FactSet-polled consensus of $0.35. Revenue rose 3% year on year to $2.99 billion, lower than the $3.01 billion consensus estimate. Gross bookings increased 4%.

The company's bookings and revenue came in at the lower end of its range due to weaker-than-expected travel demand in the US and into the US, Chief Executive Ariane Gorin told analysts on the call.

Oppenheimer cut its 2025 and 2026 booking and revenue estimates for Expedia ( EXPE ), but left EBITDA targets largely unchanged.

Price: 156.01, Change: -12.98, Percent Change: -7.68