How to Invest in TripAdvisor

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How to Invest in TripAdvisor

How to invest in TripAdvisor

Do you turn to TripAdvisor every time you have a question regarding a travel destination? Do you think of TripAdvisor as place to get valuable travel opinions and recommendations? Do you want to know how to invest in TripAdvisor? If you answer yes to any questions above, this is the article for you.

Trip Advisor is an online travel community that boasts over half a billion reviews and opinions on travel destinations, restaurants, and hotspots. They are extremely heavy on user-generated content, and have gained a large following over the years. People value the opinions and recommendations found on TripAdvisor, and there is a strong community spirit that resides on the website. They recently rolled out an Instant Booking platform, where users can book hotels or destinations directly on TripAdvisor’s website, without having to leave to another third party website. This is an important milestone for TripAdvisor because most people only use TripAdvisor to search for reviews and opinions, and would leave to another site to book something once they have the appropriate and sufficient information. There is no action follow through, and there is a large area of growth in this area. Which is why TripAdvisor started to incorporate bookings directly on their website.

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However, the conversion rate has been less than enthusiastic about this new change. There is still a lack of follow through from consumers, and they are still leaving the TripAdvisor website to go somewhere else once they are done with their research. This is a problem that TripAdvisor needs to address or risk losing the payoffs of their efforts.

However, as I talked about earlier about TripAdvisor in a technical analysis, there seems to be a glimmer of hope for TripAdvisor. The stock seems to have bottomed out and there are strong possible buy signals that could indicate a reversal—triple bottom, the price breaking above the neckline, the Tenkan line crossing above the Kijun line.

How to Invest in TripAdvisor

So how to invest in TripAdvisor stock?

At this point, seems like a good time to buy the stock. You could buy it now in levels and wait until the price breaks above the Ichimoku cloud, which also acts as a resistance, then buy more. Alternatively, you could wait for the price to break through the upper band of the Ichimoku cloud first, and buy when it retraces back down little. This is usually the case, whenever the price breaks a strong resistance, most of the time, there will be a retracing before rebounding back up higher.

Fun fact: TripAdvisor’s earnings date is May 9, 2017

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Here are Invest Diva’s calculations for important approximate level.

Support Levels Turning Point Resistance Levels
31.40 43.84 51.35
41.18 46.61 56.96

Also, if you do invest in TripAdvisor’s stock, you should support them and use their services as well. Book your travels through them, and encourage your friends to use them as well. Leave travel reviews and tips to help out fellow travelers. Join in the community and see what it is all about. Be a part of your investment and help make it better.

Good luck!

Cherie Koh