- Booking’s revenue for the first quarter surpassed estimates, racking up $4.42 billion, a 17% increase from last year vs. the estimated $4.25 billion.
- Agency revenue, however, decreased by 1.1% compared to last year, accruing $1.76 billion instead of the expected $1.81 billion.
- The company’s advertising and other revenue hit $264 million, an 8.2% year-over-year increase, although lower than the anticipated $274.3 million.
- Marketing expenses came to $1.61 billion, a 6.1% increase from last year. This figure was also lower than the projected $1.63 billion.
- The adjusted Ebitda (Earnings Before Interest, Taxes, Depreciation, and Amortization) drastically outperformed estimates, reaching $898 million, a hefty 53% growth year-over-year, compared to the estimated $718.6 million.
- Adjusted Ebitda margin was 20.3% which is significantly higher than last year’s 15.5% and above the estimated 16.8%.
- Gross bookings were valued at $43.5 billion, a 10% increase year-over-year and also exceeding the estimated $42.2 billion.
- On the other hand, gross agency bookings decreased by 8.7% compared to last year, landing at $17.8 billion as opposed to the estimated $19.38 billion.
- Gross merchant bookings saw a significant rise by 29% year-over-year, amassing $25.8 billion which blows past the estimated $22.86 billion.
- Room nights sold numbered at 297 million, surpassing the estimate of 290.93 million.
- Rental car days sold had a +10.7% increase, reaching 21 million and exceeding the estimated 20.81 million.
- Airline tickets sold soared by 33.1%, hitting 11 million, a notable increase compared to the estimated 10.04 million.
- Stock ratings currently sit at 25 buys, 13 holds, and 0 sells.
Booking Holdings on Smartkarma
Analyst coverage of Booking Holdings on Smartkarma highlights positive sentiments from research reports by Baptista Research and Mohshin Aziz.
Baptista Research‘s report focuses on Booking Holdings‘ solid Q4 and full-year 2023 results driven by global leisure travel demand resilience, with room nights growing by 9% YoY and exceeding revenue and earnings expectations. On the other hand, Mohshin Aziz‘s analysis points out the stock’s deep discount and buyback potential after a 10% share price drop due to soft guidance, making it an attractive opportunity to buy on dips.
A look at Booking Holdings Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 5 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Booking Holdings Inc. has received high scores for Growth and Resilience according to Smartkarma Smart Scores. This indicates a strong long-term outlook for the company in terms of its ability to expand and adapt to changing market conditions. With a solid foundation for development and a robust capacity to withstand challenges, Booking Holdings is positioned well for future success.
While the Value score is lower, the positive scores in Dividend and Momentum suggest a promising trajectory for the company. Overall, Booking Holdings, known for its online travel services globally, seems poised for continued growth and stability, making it an attractive investment option for those looking for a company with a focus on growth and resilience in the competitive travel industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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