Booking (BKNG) Stock Analysis
Here is a fundamental analysis of Booking (BKNG), benchmarking its profitability, financial strength, dividend and valuation against its industry group peers.
Performance
Cumulative Growth
Trailing Returns
Performance at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| 1-Year Return | -23.87% | 1.05% |
Risk
Drawdown
Risk at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| 1-Year Volatility | 32.01% | 44.02% |
| Beta | 1.09 | 1.03 |
Company Profile
| Profile Item | BKNG |
|---|---|
| Name | Booking Holdings Inc. |
| Country/Region | United States |
| GICS Sector | Consumer Discretionary |
| GICS Industry Group | Consumer Services |
| GICS Industry | Hotels, Restaurants & Leisure |
| GICS Sub-Industry | Hotels, Resorts & Cruise Lines |
| Market Capitalization | 127.81 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | March 31, 1999 |
| Security Type | Common Stock |
Valuation
Price-to-Earnings Ratio (TTM)
Booking (BKNG) trades at P/E ratio of 21.73, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.
BKNG
Consumer Services industry group
21.73
Group distribution
- Max
- 71.36
- Q3
- 40.24
- Median
- 22.08
- BKNG
- 21.73
- Q1
- 17.04
- Min
- 3.87
Largest peers
- SBUX
- 78.66
- HLT
- 52.74
- MAR
- 42.19
- ABNB
- 32.66
- MCD
- 23.48
- BKNG
- 21.73
- RCL
- 17.95
Price-to-Sales Ratio (TTM)
Booking (BKNG) trades at 4.62 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.
BKNG
Consumer Services industry group
4.62
Group distribution
- Max
- 6.59
- BKNG
- 4.62
- Q3
- 3.16
- Median
- 1.68
- Q1
- 0.87
- Min
- 0.06
Largest peers
- HLT
- 15.53
- MAR
- 14.78
- MCD
- 7.37
- ABNB
- 6.21
- BKNG
- 4.62
- RCL
- 4.29
- SBUX
- 3.05
Price-to-Book Ratio (MRQ)
Booking (BKNG) has negative P/B ratio of -14.75, which means reported book equity is negative. Price-to-book breaks down in this situation and should not be used as a valuation signal.
BKNG
Consumer Services industry group
-14.75
Group distribution
- Max
- 13.42
- Q3
- 6.34
- Median
- 2.54
- Q1
- 1.07
- Min
- -5.84
- BKNG
- -14.75
Largest peers
- ABNB
- 10.31
- RCL
- 8.05
- HLT
- -13.38
- SBUX
- -13.87
- BKNG
- -14.75
- MAR
- -26.04
- MCD
- -157.35
Valuation at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 21.73 | 22.08 |
| Price-to-Sales Ratio (TTM) | 4.62 | 1.68 |
| Price-to-Book Ratio (MRQ) | -14.75 | 2.54 |
| Free Cash Flow Yield | 5.54% | 4.08% |
Profitability
Return on Equity (TTM)
No usable ROE is available for Booking (BKNG) this period, so the shareholder-equity return read is skipped.
BKNG
Consumer Services industry group
--
Group distribution
- Max
- 52.89%
- Q3
- 29.07%
- Median
- 12.44%
- Q1
- 3.56%
- Min
- -26.11%
- BKNG
- --
Largest peers
- RCL
- 49.58%
- ABNB
- 32.33%
- BKNG
- --
- MCD
- --
- SBUX
- --
- MAR
- --
- HLT
- --
Net Profit Margin (TTM)
Booking (BKNG) keeps 22.23% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.
BKNG
Consumer Services industry group
22.23%
Group distribution
- Max
- 24.47%
- BKNG
- 22.23%
- Q3
- 12.35%
- Median
- 6.13%
- Q1
- 1.16%
- Min
- -15.48%
Largest peers
- MAR
- 35.97%
- MCD
- 31.62%
- HLT
- 30.41%
- RCL
- 24.36%
- BKNG
- 22.23%
- ABNB
- 19.90%
- SBUX
- 3.89%
Operating Profit Margin (TTM)
Booking (BKNG) turns 25.04% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.
BKNG
Consumer Services industry group
25.04%
Group distribution
- Max
- 44.25%
- BKNG
- 25.04%
- Q3
- 20.10%
- Median
- 11.37%
- Q1
- 3.21%
- Min
- -20.31%
Largest peers
- MAR
- 59.01%
- HLT
- 57.36%
- MCD
- 44.25%
- RCL
- 26.17%
- BKNG
- 25.04%
- SBUX
- 8.42%
- ABNB
- 3.21%
Profitability at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| Return on Equity (TTM) | -- | 12.44% |
| Return on Assets (TTM) | 22.26% | 5.05% |
| Net Profit Margin (TTM) | 22.23% | 6.13% |
| Operating Profit Margin (TTM) | 25.04% | 11.37% |
| Gross Profit Margin (TTM) | 86.99% | 44.16% |
Financial Strength
Current Ratio (MRQ)
Booking (BKNG) has current ratio of 1.06, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.
BKNG
Consumer Services industry group
1.06
Group distribution
- Max
- 3.05
- Q3
- 1.72
- BKNG
- 1.06
- Median
- 0.99
- Q1
- 0.69
- Min
- 0.20
Largest peers
- ABNB
- 1.44
- MCD
- 1.14
- BKNG
- 1.06
- SBUX
- 0.92
- HLT
- 0.61
- MAR
- 0.46
- RCL
- 0.20
Debt-to-Equity Ratio (MRQ)
No usable debt-to-equity ratio is available for Booking (BKNG) this period, so the balance-sheet leverage read is skipped.
BKNG
Consumer Services industry group
--
Group distribution
- Max
- 7.23
- Q3
- 3.20
- Median
- 1.27
- Q1
- 0.35
- Min
- 0.01
- BKNG
- --
Largest peers
- RCL
- 2.17
- ABNB
- 0.33
- BKNG
- --
- MCD
- --
- SBUX
- --
- MAR
- --
- HLT
- --
Financial Strength at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 1.06 | 0.99 |
| Debt-to-Equity Ratio (MRQ) | -- | 1.27 |
| Net Debt / EBITDA | 0.30 | 3.48 |
Dividends
Dividend Yield (TTM)
Booking (BKNG) has dividend yield of 0.97%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.
BKNG
Consumer Services industry group
0.97%
Group distribution
- Max
- 4.72%
- Q3
- 1.94%
- BKNG
- 0.97%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- MCD
- 2.61%
- SBUX
- 2.41%
- RCL
- 1.70%
- BKNG
- 0.97%
- MAR
- 0.73%
- HLT
- 0.17%
- ABNB
- 0.00%
Dividend Payout Ratio (TTM)
Booking (BKNG) has payout ratio of 20.73%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.
BKNG
Consumer Services industry group
20.73%
Group distribution
- Max
- 86.96%
- Q3
- 34.83%
- BKNG
- 20.73%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- SBUX
- 187.79%
- MCD
- 59.85%
- MAR
- 28.06%
- RCL
- 25.93%
- BKNG
- 20.73%
- HLT
- 9.16%
- ABNB
- 0.00%
Dividends at a Glance
| Metric | Current stock: BKNG | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.97% | 0.00% |
| Dividend Payout Ratio (TTM) | 20.73% | 0.00% |