The Priceline Group Inc. (NASDAQ: PCLN) will report its first-quarter financial results Thursday before the markets open. Thomson Reuters has consensus estimates of $7.72 in earnings per share (EPS) and $1.80 billion in revenue. The same quarter from the previous year had $7.81 in EPS and $1.64 billion in revenue.

Back in April 24/7 Wall St. looked into an analyst report that argued for Priceline to reach $1500. Argus was the firm on the call.

The firm believes that strong fourth-quarter results eased investor worries that foreign-exchange headwinds would slow growth in international bookings. In the first quarter of 2015, international bookings are projected to increase 17% to 24% in constant currencies.

Priceline’s leading position in the global online travel market, history of positive earnings surprises and exposure to the growing Chinese market warrant a multiple near the top of the historical range, according to Argus. In view of the large untapped market for online bookings, the firm expects the shares’ forward multiple to move higher.

One important point that Argus noted in its report was that Priceline is willing to sacrifice near-term margins in order to grow over the next several years. Considering the company’s strong margins, healthy cash balance and rapid growth, the firm considers this a wise decision.

Looking farther ahead, Argus expects revenue to increase approximately 14% in 2015 to $9.6 billion. In 2016, driven by strong growth in bookings, revenue is expected to rise approximately 15% to $11 billion. Despite weak foreign currencies, the firm expects higher volume and modestly higher prices, helped by economic recovery in Europe.

Since the Argus report was released shares have gained close to 7%. Without considering the impact that earnings will have on Thursday it appears Argus is right on track.

Shares of Priceline were up 0.4% at $1268.68 on a 52-week trading range of $990.69 to $1329.90. The stock has a consensus analyst price target of $1360.09.

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