Skip to Content

Sabre Corp SABR

Morningstar Rating
$2.66 +0.17 (6.84%)
View Full Chart
Unlock our analysis with Morningstar Investor

Company Report

Sabre's Profitability Improvement Amid a Lagging Air Corporate Travel Environment

Despite near-term economic and credit market and long-term corporate travel demand uncertainty, we expect Sabre to maintain its position in global distribution systems over the next 10 years, driven by a leading network of airline content and travel agency customers as well as its solid position in technology solutions for these carriers and agents. Sabre's 30%-plus GDS air transaction share is the second largest of the three companies (behind narrow-moat Amadeus and ahead of privately held Travelport) that together control about 100% of market volume. Sabre is also a leader in providing technology solutions to travel suppliers.

Price vs Fair Value

SABR is trading at a 50% discount.
Price
$2.48
Fair Value
$9.00
Uncertainty
Very High
1-Star Price
$5.94
5-Star Price
$7.10
Economic Moat
Xpqbmlw
Capital Allocation
Lskpjvll

Bulls Say, Bears Say

Bulls

The company's GDS network hosts content from all airlines and is used by many travel agents, resulting in a large industry share. Replicating this would involve meaningful time and costs.

Bears

The inflation and credit availability present material headwinds to near-term demand and and credit quality for Sabre's distribution network and IT solutions business.

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 SABR is a good fit for your portfolio.

News

Trading Information

Previous Close Price
$2.49
Day Range
$2.452.66
52-Week Range
$1.825.77
Bid/Ask
$2.65 / $2.66
Market Cap
$1.01 Bil
Volume/Avg
3.2 Mil / 6.2 Mil

Key Statistics

Price/Earnings (Normalized)
Price/Sales
0.30
Dividend Yield (Trailing)
Dividend Yield (Forward)
Total Yield

Company Profile

Sabre holds the number-two air booking volume share in the global distribution system industry. The travel solutions segment represented 91% of total 2023 revenue, split between distribution (78% of segment sales) and airline IT solutions (22%) revenue. The company also has a growing hotel IT solutions division (9% of revenue). Transaction fees, which are mostly tied to volume and not price, account for the bulk of sales and profits.
Sector
Consumer Cyclical
Industry
Travel Services
Stock Style Box
Small Value
Total Number of Employees
6,232

Competitors

Valuation

Metric
SABR
AMS
BKNG
Price/Earnings (Normalized)
22.1423.45
Price/Book Value
5.63
Price/Sales
0.304.875.86
Price/Cash Flow
15.2122.24
Price/Earnings
SABR
AMS
BKNG

Financial Strength

Metric
SABR
AMS
BKNG
Quick Ratio
1.170.851.20
Current Ratio
1.270.961.28
Interest Coverage
−0.1015.085.97
Quick Ratio
SABR
AMS
BKNG

Profitability

Metric
SABR
AMS
BKNG
Return on Assets (Normalized)
−3.69%10.03%21.88%
Return on Equity (Normalized)
24.06%
Return on Invested Capital (Normalized)
4.67%13.75%39.48%
Return on Assets
SABR
AMS
BKNG
See how this stock stacks up to its competitors with Morningstar Investor

Travel Services Industry Comparables

Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
BKNG
Booking Holdings IncGhgnrfpmWxhrlq$116.8 Bil
ABNB
Airbnb Inc Ordinary Shares - Class AFvjptxrtWfbgs$98.5 Bil
RCL
Royal Caribbean GroupYzqdvlpmRxdtbtv$32.8 Bil
TRPCF
Trip.com Group LtdGnswws$31.8 Bil
TCOM
Trip.com Group Ltd ADRKbypmwtmKqdvty$31.3 Bil
CCL
Carnival CorpLpcydnfsWtsxm$18.6 Bil
EXPE
Expedia Group IncClfdhzjlCrfpv$17.6 Bil
NCLH
Norwegian Cruise Line Holdings LtdFtzyjyyRkfrwq$7.7 Bil
TRIP
Tripadvisor IncZgrjtmcxvNknj$3.5 Bil

Sponsor Center