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Founded in 1997 and based in Norwalk, Connecticut, Booking Holdings Inc. (BKNG) is a global leader in online travel and related services. With a market cap of $150.1 billion, the company operates a diverse portfolio of well-known brands, Booking.com, Priceline, Agoda, and Kayak, serving travelers across more than 220 countries and territories with offerings that include accommodations, travel reservations, and rental cars. The booking company is set to report its first-quarter earnings after market close on Tuesday, April 29.
Ahead of the event, analysts expect BKNG to report a profit of $17 per share, down 16.6% from $20.39 in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports. Its adjusted earnings of $41.55 per share in the last quarter outpaced the consensus estimates by 16.6%, driven by strong travel demand, higher average daily rates, and effective cost management.
For the current year, analysts expect Booking Holdings to report an EPS of $205.05, up 9.6% from $187.10 in fiscal 2024. Additionally, its EPS is projected to grow 16.9% year over year to $239.76 in fiscal 2026.
Booking Holdings' shares have gained 32.8% over the past 52 weeks, outperforming the S&P 500 Index's ($SPX) 5.4% gains and the Consumer Discretionary Select Sector SPDR Fund's (XLY) 7.6% returns over the same period.
Booking Holdings has outpaced the broader market over the past year, driven by strong financial results, a rebound in international travel, and robust demand from high-income travelers. The company also boosted investor confidence with a $20 billion buyback plan and a dividend hike. Continued tech investments and its diverse brand portfolio further supported its growth and market leadership.
However, on Mar. 28, BKNG shares declined by more than 2% amid a broader sell-off in travel and hospitality-related equities. The downturn was driven by growing economic concerns, which triggered investor caution across the sector. Fears of a potential slowdown in consumer spending and discretionary travel impacted sentiment, leading to declines not only in online travel platforms like BKNG but also in airlines, cruise operators, and hotel chains.
The consensus opinion on BKNG stock is reasonably bullish, with an overall “Moderate Buy” rating. Out of 36 analysts covering the stock, 21 advise a “Strong Buy” rating, two suggest a “Moderate Buy” rating, and 13 suggest a “Hold.”
The average target price for BKNG is $5,524.67, indicating a potential upside of 20.8% from the current price levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
