Justin Post, an analyst from Bank of America Securities, reiterated the Hold rating on Booking Holdings (BKNG – Research Report). The associated price target was raised to $5,540.00.
Discover the Best Stocks and Maximize Your Portfolio:
- See what stocks are receiving strong buy ratings from top-rated analysts.
- Filter, analyze, and streamline your search for investment opportunities with TipRanks’ Stock Screener.
Justin Post has given his Hold rating due to a combination of factors, including Booking Holdings’ strong fourth-quarter performance with gross bookings, revenue, and EBITDA surpassing market expectations. Despite this strong showing, the company’s guidance for the first quarter indicates a slowdown in growth compared to peers. The anticipated growth rates for room nights and revenue are below market expectations, which suggests potential challenges in maintaining the growth momentum.
Moreover, while Booking Holdings is actively incorporating AI technologies and expects to benefit from these advancements in the future, the immediate impact on earnings and expenses is still developing. The company’s valuation is elevated compared to its historical range, which implies limited upside potential from current levels. Consequently, Justin Post’s Hold rating reflects a balanced view of Booking Holdings’ current strengths and the potential risks associated with its near-term growth outlook and valuation.
In another report released today, Morgan Stanley also maintained a Hold rating on the stock with a $5,000.00 price target.