Why TripAdvisor Stock Jumped 11% This Week

TripAdvisor (NASDAQ: TRIP) shareholders beat the market this week, with shares rising 10% through Thursday trading compared to a 2.3% decline in the S&P 500, according to data provided by S&P Global Market Intelligence. The rally didn't push the travel and vacation booking specialist into positive territory for the year, but did erase a small portion of recent losses.

The surge came as many investors turned less pessimistic about the travel industry in the wake of geopolitical upheaval in Europe.

TripAdvisor maintains one of the world's biggest travel booking platforms, with around 450 million monthly visitors who shop for hotel rooms, flights, cruises, and travel activities. That fact makes its business highly sensitive to slowing economic growth and geopolitical instability, which tend to reduce demand for discretionary services like vacation travel.

Source Fool.com