Travelzoo (TZOO)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Travelzoo (TZOO) trades at $11.85 with AI Score 82/100 (Grade A+). Travelzoo is an Internet media company specializing in travel, entertainment, and local deals. Market cap: $121.81M, Sector: Communication services.
Price live · AI analysis from May 10, 2026TZOO stock analysis for 2026: Analysts have set a consensus price target of $8.00 for Travelzoo, suggesting 32.5% downside from the current price of $11.85. The AI MoonshotScore is 82/100, indicating a strong bullish outlook. Key factors: analyst coverage, AI-driven quantitative scoring.
TZOO: 4/7 perspectives are bullish. Dominant signal: Izzy Englander bullish.
How is this calculated? →Travelzoo (TZOO) Media & Communications Profile
Travelzoo connects consumers with travel, entertainment, and local businesses through its online platforms, including its website, apps, and email newsletters. Operating in North America, Europe, and Asia Pacific, the company leverages its established brand and extensive network to provide deals and offers to its members, facing competition in the digital advertising landscape.
What Is the Investment Thesis for TZOO?
Travelzoo's investment thesis hinges on its established brand and extensive network in the travel and entertainment deals space. With a market capitalization of $121.81M and a P/E ratio of 27.1, the company's profitability, indicated by a 4.3% profit margin and a 79.4% gross margin, suggests potential for growth. Key catalysts include the expansion of its local deals offerings and strategic partnerships to enhance its market reach. The company's beta of 0.79 indicates lower volatility compared to the market. However, potential risks include increasing competition from other online travel and deal platforms and the impact of economic downturns on travel and entertainment spending. The company's ability to innovate and adapt to changing consumer preferences will be crucial for sustained growth.
Based on FMP financials and quantitative analysis
TZOO Key Highlights
- Market Cap of $121.81M reflects Travelzoo's current valuation in the market.
- P/E Ratio of 27.1 indicates the price investors are willing to pay for each dollar of Travelzoo's earnings.
- Profit Margin of 4.3% demonstrates Travelzoo's profitability after accounting for all expenses.
- Gross Margin of 79.4% showcases Travelzoo's efficiency in generating revenue from its services.
- Beta of 0.79 suggests that Travelzoo's stock is less volatile than the overall market.
Who Are TZOO's Competitors?
TZOO is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BKNG Booking Holdings Inc. | $181.97 | -1.41% | $141.00B | 96 |
| TRIP Tripadvisor, Inc. | $13.88 | -2.87% | $1.62B | 75 |
| EXPE Expedia Group, Inc. | $265.21 | -1.29% | $30.37B | 92 |
| IFUS Impact Fusion International, Inc. | $0.03 | +2.42% | $19.37M | 63 |
| MOBQ Mobiquity Technologies, Inc. | $0.65 | -11.69% | $18.06M | 63 |
| ACHN Achison Inc. | $0.79 | -21.66% | $23.73M | 61 |
| BOMN Boston Omaha Corporation | $25.76 | +0.00% | $765.03M | 59 |
| AATV Adaptive Ad Systems, Inc. | $0.11 | +0.00% | $5.28M | 58 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TZOO's Key Strengths?
- Established brand and reputation
- Extensive network of partners
- Large and engaged member base
- Proprietary technology platform
What Are TZOO's Weaknesses?
- Reliance on travel and entertainment industry
- Competition from larger online travel agencies
- Limited geographic diversification
- Dependence on email marketing
What Could Drive TZOO Stock Higher?
- Expansion of Local Deals offerings to attract more local businesses and customers.
- Strategic partnerships with airlines, hotels, and other travel companies to offer exclusive deals.
- Optimization of the mobile platform to enhance user experience and drive mobile bookings.
- Implementation of personalized marketing strategies to improve customer engagement and conversion rates.
What Are the Key Risks for TZOO?
- Negative return on equity (-51.8%) — the business is not currently generating profit on shareholder capital.
- Rich valuation — a P/E of 27.1 runs well above the Communication Services sector’s ~18x, leaving little room for a miss.
- Economic downturns could negatively impact travel spending and reduce demand for Travelzoo's services.
- Increasing competition from larger online travel agencies and deal platforms.
- Changes in consumer preferences could lead to a decline in demand for certain types of travel and entertainment deals.
- Data security breaches could damage Travelzoo's reputation and erode customer trust.
What Are the Growth Opportunities for TZOO?
- Expansion of Local Deals: Travelzoo can capitalize on the growing demand for local experiences by expanding its Local Deals offerings. This involves partnering with more local businesses, such as restaurants, spas, and activity companies, to provide attractive deals to its members. The market for local experiences is estimated to be worth billions of dollars, and Travelzoo can leverage its existing platform and member base to capture a larger share of this market. Timeline: Ongoing.
- Strategic Partnerships: Forming strategic partnerships with airlines, hotels, and other travel and entertainment companies can enhance Travelzoo's market reach and provide access to exclusive deals. These partnerships can also help Travelzoo expand its offerings and cater to a wider range of customer preferences. The market for travel and entertainment partnerships is highly competitive, but Travelzoo's established brand and network can provide a competitive advantage. Timeline: Ongoing.
- Mobile Platform Optimization: With the increasing use of mobile devices for online browsing and purchasing, Travelzoo can optimize its mobile platform to provide a seamless and engaging user experience. This includes improving the design and functionality of its mobile apps and website, as well as implementing mobile-specific marketing strategies. The market for mobile advertising is growing rapidly, and Travelzoo can leverage its mobile platform to capture a larger share of this market. Timeline: Ongoing.
- Personalized Marketing: Implementing personalized marketing strategies can help Travelzoo better target its members with relevant deals and offers. This involves using data analytics to understand customer preferences and behavior, and then tailoring marketing messages accordingly. The market for personalized marketing is growing rapidly, and Travelzoo can leverage its data and technology to implement effective personalized marketing campaigns. Timeline: Ongoing.
- Geographic Expansion: Travelzoo can expand its operations into new geographic markets to reach a wider audience and diversify its revenue streams. This involves conducting market research to identify promising markets, establishing local partnerships, and adapting its offerings to local preferences. The global travel and entertainment market is vast and diverse, and Travelzoo can leverage its expertise and resources to successfully expand into new markets. Timeline: Ongoing.
What Opportunities Does TZOO Have?
- Expansion of local deals offerings
- Strategic partnerships with travel and entertainment companies
- Mobile platform optimization
- Personalized marketing
What Threats Does TZOO Face?
- Economic downturns affecting travel spending
- Increasing competition from online travel agencies
- Changes in consumer preferences
- Data security breaches
What Are TZOO's Competitive Advantages?
- Established brand recognition and reputation in the travel and entertainment deals space.
- Extensive network of travel and entertainment partners.
- Large and engaged member base.
- Proprietary technology platform for deal distribution and management.
What Does TZOO Do?
Founded in 1998 and headquartered in New York City, Travelzoo has evolved into a global Internet media company focused on providing travel, entertainment, and local deals. The company's core business revolves around connecting travel and entertainment companies, as well as local businesses, with consumers seeking attractive offers. Travelzoo operates primarily in North America, Europe, and Asia Pacific, catering to a diverse range of customers and partners. Its key products and services include the Travelzoo Website, Travelzoo iPhone and Android apps, the Travelzoo Top 20 email newsletter, and the Newsflash email alert service. These platforms serve as channels for distributing deals and offers to its extensive member base. Travelzoo also operates the Travelzoo Network, a network of third-party Websites that list travel deals published by the company, expanding its reach and visibility. Additionally, Travelzoo offers Local Deals and Getaway listings, enabling members to purchase vouchers for deals from local businesses, such as spas, hotels, and restaurants, fostering engagement and driving revenue. The company serves a wide array of clients, including airlines, hotels, cruise lines, vacation packagers, tour operators, destinations, car rental companies, travel agents, theater and performing arts groups, restaurants, spas, and activity companies. Travelzoo's business model is centered around generating revenue through advertising and commissions from the deals and offers promoted on its platforms.
What Products and Services Does TZOO Offer?
- Connects consumers with travel, entertainment, and local deals.
- Operates the Travelzoo Website, providing access to deals and offers.
- Offers Travelzoo iPhone and Android apps for mobile access to deals.
- Distributes the Travelzoo Top 20 email newsletter with curated deals.
- Provides Newsflash email alerts for timely deals and offers.
- Operates the Travelzoo Network, a network of third-party Websites listing travel deals.
- Offers Local Deals and Getaway listings for vouchers from local businesses.
How Does TZOO Make Money?
- Generates revenue through advertising from travel and entertainment companies.
- Earns commissions from deals and offers promoted on its platforms.
- Offers subscription-based services for premium access to deals and content.
What Industry Does TZOO Operate In?
Travelzoo operates within the dynamic advertising agencies industry, which is part of the broader communication services sector. The industry is characterized by intense competition and rapidly evolving digital landscape. Market trends include the increasing shift towards online advertising, the growing importance of mobile platforms, and the rise of personalized marketing. Travelzoo differentiates itself by focusing on travel and entertainment deals, leveraging its established brand and extensive network. The company faces competition from other online travel agencies, deal platforms, and digital advertising companies. The global advertising market is projected to reach trillions of dollars in the coming years, presenting significant opportunities for growth.
Who Are TZOO's Key Customers?
- Airlines seeking to fill seats and increase revenue.
- Hotels aiming to boost occupancy rates and attract guests.
- Cruise lines looking to sell cabins and packages.
- Local businesses, such as restaurants and spas, seeking to attract customers.
Company Profile
Travelzoo operates in the Advertising Agencies industry within the Communication Services sector. It is headquartered in New York City, US. The company is led by CEO Holger Bartel. TZOO has traded publicly since 2002.
F-Score 7/9Financial Health
Travelzoo's Piotroski F-Score is 7/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 3.51 places it in the safe zone, indicating low near-term bankruptcy risk.
ROE -52%Key Financial Metrics
Return on equity for Travelzoo stands at -51.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 7.9%, showing how much profit it generates from its asset base. TZOO trades at a trailing price-to-earnings ratio of 27.10, above the Communication Services sector average of ~18x. Its free cash flow yield is 5.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.73 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 3.2%, the inverse of the P/E and a quick read on earnings relative to price.
TZOO Valuation & Market Position
With a $121.81M market cap, Travelzoo sits in the micro-cap segment of the market. Relative to its peer group, TZOO's quantitative score of 82/100 is roughly in line with the peer average of 78/100.
FY2026 estForward Outlook
Wall Street analysts project Travelzoo revenue of about $99.1M for fiscal 2026, with EPS near $0.68. The estimate reflects 4 contributing analysts.
TZOO Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future prospects, indicating that leadership sees potential for growth.
- Community sentiment has shifted positively, with many users discussing Travelzoo's unique offerings and partnerships that enhance its market position.
- The travel sector is rebounding, and Travelzoo's marketing strategies are resonating well with consumers eager to travel again.
- Recent positive reviews and increased engagement on social media highlight a growing interest in Travelzoo's services, reflecting a potential uptick in bookings.
Bear Case
- Despite some positive sentiment, there remains skepticism about the company's ability to compete with larger travel platforms that dominate the market.
- Recent discussions reveal concerns over operational challenges and the effectiveness of Travelzoo's current business model in a rapidly changing travel landscape.
- Some community members express doubts about the sustainability of the travel recovery, fearing a potential downturn in consumer spending on travel.
- Insider selling in the past months raises questions about leadership's confidence in short-term performance, leading to bearish sentiment among some investors.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
TZOO Latest News
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Club Offers for Travel Enthusiasts in Germany
prnewswire.com · Jun 11, 2026
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Club Offers for Travel Enthusiasts in Canada
prnewswire.com · Jun 10, 2026
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Club Offers for Travel Enthusiasts in the U.S.
gurufocus.com · Jun 10, 2026
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Club Offers for Travel Enthusiasts in the UK
prnewswire.com · Jun 2, 2026
TZOO Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TZOO.
Price Targets
Consensus target: $8.00
TZOO MoonshotScore
What does this score mean?
The MoonshotScore rates TZOO's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Latest News
Leadership: Holger Bartel
CEO
Holger Bartel serves as the Chief Executive Officer of Travelzoo. His career spans over two decades in the media and technology sectors. Prior to joining Travelzoo, he held various leadership positions at prominent companies, focusing on digital strategy, business development, and marketing. He brings a wealth of experience in driving growth and innovation in the online space. His educational background includes advanced degrees in business administration and technology management.
Track Record: Under Holger Bartel's leadership, Travelzoo has focused on expanding its local deals offerings and strengthening its partnerships with travel and entertainment companies. He has overseen the optimization of the company's mobile platform and the implementation of personalized marketing strategies. Key milestones include the growth of the member base and the improvement of key financial metrics, such as revenue and profitability.
Common Questions About TZOO (Communication Services)
What does Travelzoo do?
Travelzoo is an Internet media company that specializes in providing travel, entertainment, and local deals to its members. The company operates a website and mobile apps where it publishes deals and offers from travel and entertainment companies, as well as local businesses. Travelzoo generates revenue through advertising and commissions from the deals and offers promoted on its platforms. The company's business model is centered around connecting businesses with consumers seeking attractive deals, leveraging its established brand and extensive network.
What do analysts say about TZOO stock?
Analyst coverage of Travelzoo (TZOO) is limited, but the consensus view is cautiously optimistic. Key valuation metrics, such as the P/E ratio of 27.1, suggest that the stock is trading at a reasonable multiple of its earnings. Growth considerations include the company's ability to expand its local deals offerings and optimize its mobile platform. However, potential risks include increasing competition and the impact of economic downturns on travel spending. Investors should conduct their own research and consider their individual risk tolerance before making any investment decisions.
What are the main risks for TZOO?
Travelzoo faces several risks, including economic downturns that could negatively impact travel spending, increasing competition from larger online travel agencies and deal platforms, changes in consumer preferences that could lead to a decline in demand for certain types of travel and entertainment deals, and data security breaches that could damage the company's reputation and erode customer trust. The company's reliance on email marketing also poses a risk, as changes in email regulations or consumer behavior could reduce the effectiveness of its marketing campaigns.
What are the key factors to evaluate for TZOO?
Travelzoo (TZOO) holds an AI score of 82/100 (high). P/E: 27.1x vs the S&P 500's ~20-25x. Analysts target $8.00 (-32%). Not financial advice.
How frequently does TZOO data refresh on this page?
TZOO prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven TZOO's recent stock price performance?
Travelzoo (TZOO) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Established brand and reputation. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TZOO overvalued or undervalued right now?
Travelzoo (TZOO) trades at 27.1x earnings. Analysts target $8.00 (-32%) — downside risk seen. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying TZOO?
Before investing in Travelzoo (TZOO), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on available data and may be subject to change.
- Financial metrics are as of the latest available reporting period.