Bank of America upgraded Tripadvisor from Neutral to Buy in a note issued on Friday, arguing that more visible activist engagement and expanding strategic options create a clearer route for shareholders to capture value, analyst Nafeesa Gupta said.
The firm also lifted its price target on the shares to $15 from $14 per share.
BofA highlighted the intensifying role of activist investor Starboard Value, which has held a roughly 9 percent stake since July 2025. The bank said Starboard’s involvement increases the probability that Tripadvisor will reassess potential transactions across its assets at a time when the market appears to be undervaluing the company’s faster-growing segments.
In support of that view, BofA’s sum-of-the-parts work places a combined valuation for Viator and TheFork at more than $2.5 billion, a figure the bank notes is nearly double Tripadvisor’s current enterprise value of about $1.3 billion.
Gupta pointed to recent board changes that signal strategic momentum: Tripadvisor formalized a cooperation agreement with Starboard that resulted in the addition of four new directors to its board. The bank stressed that this arrangement follows a Starboard letter from February 2026 calling for a board refresh and an exploration of potential sales.
On individual assets, BofA estimated Viator’s standalone value in a range between $1.3 billion and $2.5 billion, citing its leadership position in North American experiences and a catalog of more than 300,000 bookable tours. TheFork, Tripadvisor’s European restaurant reservation platform, was valued by the firm at between $372 million and $1.1 billion.
Separately, BofA observed that Tripadvisor’s hotel meta-search business trades at a near-trough multiple of about 3x 2027 EBITDA, a valuation dynamic the bank says supports the argument for Viator and TheFork being appraised independently.
Gupta cautioned that several risks could impede the realization of standalone asset value, identifying "Agentic AI disruption, execution challenges, competitive pressure, and continued Hotels drag" as potential headwinds.
In addition to the bank’s analysis, the note referenced automated screening tools used by some market services that evaluate companies like Tripadvisor against hundreds of financial metrics. One such system highlighted that it screens thousands of companies monthly and has previously surfaced winners including Super Micro Computer (+185%) and AppLovin (+157%).
Overall, BofA’s upgrade reflects a view that activist-led governance changes and the potential to unlock value from Viator and TheFork create a more constructive investment case for Tripadvisor, while also acknowledging material execution and market risks that could limit upside.
Summary
Bank of America elevated Tripadvisor to Buy, raised the price target to $15, and emphasized Starboard Value’s growing influence and a sum-of-the-parts upside for Viator and TheFork compared with Tripadvisor’s current enterprise value of about $1.3 billion.
Key points
- BofA upgraded Tripadvisor to Buy and increased its price target to $15 from $14.
- Starboard Value holds a roughly 9 percent stake since July 2025 and has driven board changes via a cooperation agreement that added four directors, following a February 2026 letter urging a board refresh and asset review.
- BofA’s sum-of-the-parts analysis places Viator and TheFork at over $2.5 billion combined, compared with Tripadvisor’s enterprise value near $1.3 billion; Viator is valued at $1.3 billion to $2.5 billion, TheFork at $372 million to $1.1 billion.
Risks and uncertainties
- Agentic AI disruption - could affect travel and online platform dynamics.
- Execution challenges and competitive pressure - potential obstacles across Tripadvisor’s travel, experiences, and restaurant reservation businesses.
- Continued Hotels drag - weakness in the hotel meta-search segment could limit the value recovery of the broader portfolio.