KeyBanc starts Booking with Overweight, Expedia at Sector Weight

KeyBanc initiated coverage of Booking Holdings (BKNG) with an Overweight rating and $6,450 price target as well as Expedia (EXPE) with a Sector Weight rating and no price target. Booking has a “strong track record” of executing against its initiatives. The company offers investors scale and “best-in-class” marketing efficiency, which drives an industry-leading margin profile, the analyst tells investors in a research note. KeyBanc says that despite Expedia’s global scale with well-known brands, the company has a history of technology and platform challenges. The company also faces rising competitive pressures, the firm contends.