TripAdvisor is one of the world largest travel website companies (it runs the websites of over 20 travel media brands). An average of 390 million unique customers visit TripAdvisor websites every month. The sites work across 49 different markets around the world. The company geographical revenue diversification is truly global, with 57% of revenue generated in North America, 29% in Europe, the Middle East and Africa, 10% in the Asia-Pacific region and 4% in Latin America. TripAdvisor was founded in 2000. Some of the company largest shareholders include: BlackRock (6.23%), The Bank of New York Mellon (3.63%), J.P. Morgan Chase (0.86%), Credit Suisse (0.77%), Morgan Stanley (0.65%).
Continued implementation of a strategy to increase the company profitability, including the introduction of a one-click booking service and the development of mobile technology.
Potential for maintaining the company growth in its market share of global tourism services (valued at 1.3 trillion USD) due to the fact that more and more tourists prefer to plan and pay for their trips online.
Proactive advertising campaign: TripAdvisor continues to actively invest in promotion on various social media sites (Facebook, Twitter etc).
Maintaining good profit margins: In 2016, the ratio of net profit to revenue was 8.2%, the return on equity came to 8.2% and the return on assets was 5.5%.
Minimal risks to financial stability thanks to a low debt burden: the ratio of total debt obligations to total assets is only 7.64%, the ratio of total debt to EBITDA is 0.64 and the ratio of net debt to EBITDA is -2.15 due to a high level of liquidity.
TripAdvisor shares are trading with a discount in comparison to other companies, with an EV/Revenue discount is 39%.
Expected Return — more than 22% per annum
The return is calculated based on capital protection set to 96% and the price of the underlying asset at expiration equal to 62 USD. Investment Period Until: 15/06/2018.
Alpari International Limited is part of the Alpari group of companies, a recognized global leader in Forex. Alpari has offices in all the major financial centers around the world, including London, New York, Tokyo, Shanghai and Frankfurt. Their monthly turnover exceeds 280 billion USD.