September 17, 2004
SpeculatingStocks.com Stock Pick: Travelzoo, Inc. (TZOO)
Stock Price: $72.34 (long-term strong short)
Travelzoo, Inc. is the Internet's largest publisher of travel offers available directly from hundreds of travel companies. They currently list more than 300 travel advertisers to over 7 million subscribers.
TZOO is extremely overvalued similar to TASR when it was at these levels. TASR has since dropped closer to its fundamental value. TASR ran as high as $64 and dropped to $25. We expect TZOO to move in a similar fashion in the near future. TZOO has a P/E Ratio of over 400.
It is obvious the major traders are focusing on TZOO, but soon they will move on as they always do.
SpeculatingStocks.com Target Price: We expect TZOO to fall to at least $35 before the end of the year.