This is written after a huge dump in the stock but it’s always easier to analyze a stock after their numbers come out. Well Expedia’s numbers came out and they were awful and they predict they will stay awful. IAC spun off the company in August for a good reason. They didn’t want the company dragging down their stock. The stock was downgraded by several firms yesterday and continues to be downgraded by 2 more firms today. The problem is competition. There are so many people getting in the online travel industry that attacting new customers and keeping new customers is a financial nightmare. The growth of most online companies is overseas but the travel agencies just don’t seem to do well against more established foreign companies. This leads to dwindling profits and eventually no profits. If you haven’t taken your money out of Expedia and are hoping for a rebound, save your money and drop the falling knife.