Booking Holdings (BKNG) AI Stock Analysis

• Market Cap: $160.90B
• Dividend Yield: 0.74%
• Average Volume (3M): 256.58K
• Price to Earnings (P/E): 32.4
• Beta (1Y): 1.11
• Revenue Growth: 12.96%
• EPS Growth: 3.66%
• Country: US
• Employees: 24,500
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Services
• EPS (TTM): 99.50
• Shares Outstanding: 32,233,814
• 10 Day Avg. Volume: 289,443
• 30 Day Avg. Volume: 256,580
• PEG Ratio: 0.60
• Price to Book (P/B): -41.55
• Price to Sales (P/S): 7.04
• P/FCF Ratio: 21.16
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 6.79
• Enterprise Value/Gross Profit: 6.79
• Enterprise Value/Ebitda: 19.33
• 1Y Price Target: $6,169.08
• Price Target Upside: 23.59% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 25
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $5,406.00 ▲(8.30% Upside)

Booking Holdings' strong earnings performance and strategic advancements in AI and loyalty programs are major positives. However, significant leverage issues, bearish technical indicators, and high valuation pose risks. The company's ability to manage these challenges will be crucial for future performance.

Positive Factors

Revenue Growth

The consistent revenue growth, surpassing expectations, indicates strong demand and effective execution, enhancing long-term market position.

AI and Technology Advancements

Advancements in AI enhance customer experience and operational efficiency, providing a competitive edge and supporting sustainable growth.

Genius Loyalty Program

The expansion of the Genius loyalty program drives customer retention and repeat bookings, strengthening long-term revenue streams.

Negative Factors

Significant Leverage

High leverage and negative equity pose financial risks, potentially limiting investment capacity and increasing vulnerability to economic shifts.

Decline in Free Cash Flow Growth

Decreasing free cash flow growth could strain financial flexibility, affecting the company's ability to fund operations and strategic initiatives.

Geopolitical and Macroeconomic Uncertainty

Geopolitical and macroeconomic uncertainties may impact travel demand and operational stability, posing long-term challenges to growth.

Booking Holdings Business Overview & Revenue Model

Company Description

Booking Holdings Inc. is a leading global online travel and related services company headquartered in Norwalk, Connecticut. The company operates several well-known travel fare aggregators and travel metasearch engines, including Booking.com, Priceline, Agoda, Kayak, and OpenTable. It primarily provides a platform for users to book accommodations, flights, rental cars, and travel experiences, catering to both leisure and business travelers across various markets worldwide.

How the Company Makes Money

Booking Holdings generates revenue primarily through its online travel agency services, which include commissions from hotels and other accommodations, as well as service fees from travelers. The company earns a significant portion of its income from the commissions charged to hotel partners when travelers book through its platforms. Additionally, Booking Holdings generates revenue from advertising services, where partners pay to promote their listings on its websites. The company's vast network of partnerships with airlines, hotels, and car rental companies enhances its offerings and contributes to its earnings. Furthermore, its diversified portfolio across different regions and customer segments allows for a resilient revenue model that capitalizes on global travel demand.

Booking Holdings Financial Statement Overview

Summary

Booking Holdings shows strong revenue growth and profitability, with high margins and efficient operations. However, significant leverage and negative equity on the balance sheet pose financial stability risks. Cash flow generation is solid, but recent declines in free cash flow growth are concerning.

Income Statement

Booking Holdings has demonstrated strong revenue growth with a TTM increase of 4.05% and a consistent upward trajectory over the past years. The company maintains high profitability with a gross profit margin of 100% and a solid net profit margin of 19.37% TTM. However, there is a slight decline in net profit margin compared to the previous year. EBIT and EBITDA margins are robust at 32.29% and 35.14% respectively, indicating efficient operational management.

Balance Sheet

The balance sheet reveals significant leverage concerns, with a negative stockholders' equity leading to a negative debt-to-equity ratio of -3.70 TTM. This indicates potential financial instability. The return on equity is also negative, reflecting challenges in generating returns for shareholders. Despite these issues, the company has maintained a stable asset base.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 10.01% TTM, which could be a concern. However, the operating cash flow to net income ratio remains healthy at 0.53, and the free cash flow to net income ratio is strong at 0.96, indicating good cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.04B	23.74B	21.36B	17.09B	10.96B	6.80B
Gross Profit	26.04B	23.74B	21.36B	17.09B	10.96B	6.80B
EBITDA	9.15B	9.34B	7.04B	4.92B	2.40B	1.56B
Net Income	5.04B	5.88B	4.29B	3.06B	1.17B	59.00M
Balance Sheet
Total Assets	28.75B	27.71B	24.34B	25.36B	23.64B	21.87B
Cash, Cash Equivalents and Short-Term Investments	16.51B	16.16B	12.68B	12.43B	11.15B	11.06B
Total Debt	17.53B	17.08B	14.78B	13.04B	11.28B	12.38B
Total Liabilities	33.49B	31.73B	27.09B	22.58B	17.46B	16.98B
Stockholders Equity	-4.74B	-4.02B	-2.74B	2.78B	6.18B	4.89B
Cash Flow
Free Cash Flow	8.31B	7.89B	7.00B	6.19B	2.52B	-201.00M
Operating Cash Flow	8.64B	8.32B	7.34B	6.55B	2.82B	85.00M
Investing Cash Flow	-317.00M	129.00M	1.49B	-518.00M	-998.00M	2.64B
Financing Cash Flow	-8.11B	-4.20B	-8.91B	-4.90B	-1.24B	1.53B

Booking Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4991.76
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BKNG, the sentiment is Negative. The current price of 4991.76 is below the 20-day moving average (MA) of 5132.72, below the 50-day MA of 5354.25, and below the 200-day MA of 5175.99, indicating a bearish trend. The MACD of -86.28 indicates Positive momentum. The RSI at 38.47 is Neutral, neither overbought nor oversold. The STOCH value of 27.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BKNG.

Booking Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABNB	79 Outperform	$76.03B	29.52	33.26%	―	10.23%	-44.56%
TCOM	73 Outperform	$46.51B	19.37	12.94%	0.39%	17.73%	27.95%
EXPE	72 Outperform	$26.24B	25.96	129.04%	0.57%	5.69%	47.33%
MMYT	65 Neutral	$10.21B	118.54	16.66%	―	14.55%	-68.46%
BKNG	63 Neutral	$160.90B	32.44	―	0.74%	12.96%	3.66%
TRIP	62 Neutral	$1.72B	31.13	8.76%	―	3.03%	187.03%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Booking Holdings Corporate Events

Booking Holdings’ Earnings Call: Strong Growth Amid Challenges

The recent earnings call for Booking Holdings showcased a robust financial performance, with notable growth in gross bookings, revenue, and adjusted EBITDA. The sentiment was largely positive, driven by promising developments in the U.S. and Asian markets, alongside the successful expansion of the Genius loyalty program and advancements in AI technology. However, there were some concerns regarding slightly lower Average Daily Rates (ADRs) in the U.S. and the potential impacts of geopolitical and macroeconomic uncertainties.

Booking Holdings Reports Strong Q3 2025 Results

Booking Holdings Inc., a leader in the online travel services sector, offers a range of travel and related services through its well-known brands such as Booking.com, Priceline, and Agoda, serving consumers and partners across more than 220 countries and territories.

Booking Holdings Updates By-Laws for Better Governance

On October 16, 2025, Booking Holdings Inc.’s Board of Directors approved amendments to the company’s By-Laws, which include changes to the threshold for calling a special meeting and revisions to the advance notice provision. These amendments are expected to streamline board operations and enhance governance, potentially impacting the company’s decision-making processes and stakeholder engagement.

The most recent analyst rating on (BKNG) stock is a Hold with a $5850.00 price target. To see the full list of analyst forecasts on Booking Holdings stock, see the BKNG Stock Forecast page.

Booking Holdings Announces CAO Retirement Plan

On September 17, 2025, Booking Holdings Inc. announced that Susana D’Emic, the Chief Accounting Officer and Controller, will retire at the end of March 2027. She will transition to the role of Senior Vice President of Finance ahead of her retirement, with a successor expected to be hired in 2026.

The most recent analyst rating on (BKNG) stock is a Hold with a $5850.00 price target. To see the full list of analyst forecasts on Booking Holdings stock, see the BKNG Stock Forecast page.

Booking Holdings’ Earnings Call Highlights Robust Growth

The latest earnings call from Booking Holdings paints a picture of robust financial growth and strategic advancements, particularly in the realms of AI and the Connected Trip vision. Despite facing some challenges in the US market and geopolitical concerns, the overall sentiment was optimistic, highlighting the company’s strong position and future potential.

Booking Holdings Reports Strong Q2 2025 Results

Booking Holdings Inc., a leading provider of online travel and related services, operates through brands such as Booking.com, Priceline, and Agoda, offering services in over 220 countries and territories. The company has reported a strong financial performance for the second quarter of 2025, with significant growth in room nights, gross bookings, and revenue, reflecting its strategic execution and market demand.