Skip to Content

Booking Holdings Inc BKNG

Morningstar Rating
$3,505.96 −396.03 (10.15%)
View Full Chart
Unlock our analysis with Morningstar Investor

Company Report

Booking Holdings Earnings: Bookings Light but January Demand and Network Edge Are Solid

After moving 12% higher year-to-date through Feb. 22, Booking shares traveled down 9% in after-hours trading, as the company’s 16% bookings growth missed our 21% forecast for the fourth quarter. That said, we don’t plan to materially change our $3,450 fair value estimate, as Booking’s January room night growth was above 6% despite facing tough comparisons, instilling confidence in our preprint 8% booking growth forecast for 2024. Also, the company’s network edge, which is the source of our narrow-moat rating, appears intact, providing visibility into this high-single-digit booking growth rate enduring over the intermediate term.

Price vs Fair Value

BKNG is trading at a 2% premium.
Price
$3,505.96
Fair Value
$1,115.00
Uncertainty
High
1-Star Price
$4,748.30
5-Star Price
$7,662.00
Economic Moat
Rptyyj
Capital Allocation
Mshyglqzs

Bulls Say, Bears Say

Bulls

Emerging markets should see strong online travel booking growth over the next 10 years, given low penetration levels and increased online usage, and Booking is well positioned.

Bears

Google's continued emphasis on placing its paid ads and metasearch platform ahead of free organic search links could place marketing cost pressure on Booking Holdings.

Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if BKNG is a good fit for your portfolio.

News

Trading Information

Previous Close Price
$3,901.99
Day Range
$3,491.333,698.30
52-Week Range
$2,383.183,918.00
Bid/Ask
$3,510.16 / $3,515.00
Market Cap
$122.32 Bil
Volume/Avg
958,463 / 270,403

Key Statistics

Price/Earnings (Normalized)
25.56
Price/Sales
6.78
Dividend Yield (Trailing)
Dividend Yield (Forward)
Total Yield
8.48%

Company Profile

Booking is the world’s largest online travel agency by sales, offering booking and payment services for hotel and alternative accommodation rooms, airline tickets, rental cars, restaurant reservations, cruises, experiences, and other vacation packages. The company operates a number of branded travel booking sites, including Booking.com, Agoda, OpenTable, and Rentalcars.com, and has expanded into travel media with the acquisitions of Kayak and Momondo. Transaction fees for online bookings account for the bulk of revenue and profits.
Sector
Consumer Cyclical
Industry
Travel Services
Stock Style Box
Large Growth
Total Number of Employees
23,450

Competitors

Valuation

Metric
BKNG
ABNB
EXPE
Price/Earnings (Normalized)
25.5637.0613.73
Price/Book Value
10.3812.04
Price/Sales
6.7810.291.58
Price/Cash Flow
23.1626.058.37
Price/Earnings
BKNG
ABNB
EXPE

Financial Strength

Metric
BKNG
ABNB
EXPE
Quick Ratio
1.351.630.60
Current Ratio
1.441.660.78
Interest Coverage
7.7217.644.31
Quick Ratio
BKNG
ABNB
EXPE

Profitability

Metric
BKNG
ABNB
EXPE
Return on Assets (Normalized)
21.59%28.58%6.09%
Return on Equity (Normalized)
432.17%85.50%78.08%
Return on Invested Capital (Normalized)
37.87%57.72%14.82%
Return on Assets
BKNG
ABNB
EXPE
See how this stock stacks up to its competitors with Morningstar Investor

Travel Services Industry Comparables

Ticker
Name
Morningstar Rating for Stocks
Economic Moat
Market Cap
ABNB
Airbnb Inc Ordinary Shares - Class ADxjlh$97.4 Bil
RCL
Royal Caribbean GroupJvxrmh$31.3 Bil
TRPCF
Trip.com Group LtdWwbdqr$30.3 Bil
TCOM
Trip.com Group Ltd ADRJfxkgf$30.3 Bil
CCL
Carnival CorpPwxchp$19.9 Bil
EXPE
Expedia Group IncXwnmy$18.6 Bil
NCLH
Norwegian Cruise Line Holdings LtdDysprh$6.9 Bil
TRIP
TripAdvisor IncSbbc$3.8 Bil
SABR
Sabre CorpLxygsg$1.0 Bil

Sponsor Center