Trade Alert: DESP

By Scott Chan • January 26, 2018

Buy Despegar.com, Corp. (NYSE: DESP).

Today we add to our portfolio a stock that has been on our watch list. Tiger Global Management, one of our favorite funds to follow, was already a major owner when Despegar.com (NYSE: DESP) was still a private company. The company IPO’ed four months ago, and Tiger owns more than 30 million shares, or 44%, of the company. Clearly, Tiger’s Chase Coleman III loves the company a lot.

Despegar.com is an online travel agency. It provides travel and travel-related products through its website and mobile apps in Latin America. Think of it as the Expedia of Latin America if you will. Expedia in fact owns about 14% of the company, making it the second largest owner of DESP after Tiger Global. We think there’s a chance Expedia will eventually take over Despegar.

Travel activity is fast growing in the Latin American region, especially now that the local economies seem to be improving after a few mediocre years. The outlook portends good growth opportunities ahead for Despegar.

We will discuss the company in more depth in an upcoming Weekly Update.

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Jeffrey J

01/26/18 ‐ 11:26am ET January 26, 2018 at 11:26am ET

DESP is not listed on the “Portrfolio” page. What is the “Buy up to” price?

Scott Chan

01/26/18 ‐ 11:37am ET January 26, 2018 at 11:37am ET

Dear Jeffrey,

Sorry about the slight delay. We have to manually input the data into the table after we get the alert out. The suggested buy up to is $35.

01/26/18 ‐ 3:19pm ET January 26, 2018 at 3:19pm ET

Got it. Thank you.

Paul

01/26/18 ‐ 12:56pm ET January 26, 2018 at 12:56pm ET

Filled DESP at market price

Hazelnut

02/06/18 ‐ 1:53pm ET February 6, 2018 at 1:53pm ET

Hi Scott, where do I find the info to enter on the “order type” and the “time in force” to fill out my order form on DESP?

02/07/18 ‐ 10:12am ET February 7, 2018 at 10:12am ET

Hi Hazelnut,

The recommendation was to buy at Market. Unless specified on the Trade Alert, an alert will be a Market order by default.

Our entry price was $31.10. We currently rate the stock a buy up to $35. If you buy today you will have a better entry price did we did.

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