- Revenue: Booking’s revenue for Q2 reached $5.86 billion, representing a 7.3% year-over-year increase, surpassing the estimate of $5.77 billion.
- Agency Revenue: Agency revenue was down 12% year-over-year at $2.14 billion, lower than the expected $2.29 billion.
- Advertising & Other Revenue: This segment grew by 2.3% year-over-year to $269 million, though it missed the estimate of $282.3 million.
- Marketing Expense: Marketing expenses rose by 7.7% year-over-year to $1.94 billion, slightly below the estimate of $1.97 billion.
- Adjusted EBITDA: Adjusted EBITDA increased by 6.6% year-over-year to $1.90 billion, beating the estimate of $1.76 billion. The adjusted EBITDA margin was 32.4%, compared to 32.6% last year and the estimated 30.4%.
- Adjusted EPS: Adjusted earnings per share were $41.90, compared to $37.62 last year and surpassing the estimate of $38.20.
- Gross Bookings: Gross bookings totaled $41.4 billion, a 4.3% year-over-year increase, but slightly below the estimate of $41.76 billion.
- Gross Agency Bookings: These bookings were down 16% year-over-year at $15.6 billion, falling short of the estimated $17.68 billion.
- Gross Merchant Bookings: Gross merchant bookings grew by 22% year-over-year to $25.8 billion, exceeding the estimate of $24.15 billion.
- Room Nights Sold: Booking sold 287 million room nights, slightly above the estimate of 284.44 million, translating to a 7.1% year-over-year increase.
- Rental Car Days Sold: 22 million rental car days were sold, a slight increase from the estimate of 21.98 million, representing a 10% year-over-year increase.
- Airline Tickets Sold: The company sold 11 million airline tickets, lower than the estimated 11.27 million but marking an impressive 27.7% year-over-year increase.
- Analyst Ratings: There are currently 27 buy ratings, 11 hold ratings, and no sell ratings.
Booking Holdings on Smartkarma
Analyst coverage of Booking Holdings on Smartkarma provides valuable insights for investors. Baptista Research‘s report emphasizes the company’s strong performance in the first quarter of 2024, with impressive room night bookings and revenue growth. The analysis includes a fundamental evaluation of Booking Holdings using a Discounted Cash Flow methodology to assess future price influences. Baptista Research also highlights the company’s strategic focus on leveraging technology such as AI for growth, showcasing a positive outlook for the company’s future.
Furthermore, analyst Mohshin Aziz‘s report on Booking.com highlights the company’s record 2023 results and cash dividend announcement. Despite a temporary share price drop due to soft guidance and market conditions, Aziz sees potential in Booking.com’s stock buyback program and considers the current trading price at a discount. The report presents an opportunity for investors to consider buying on dips, especially with the share buyback initiative in place, indicating a favorable long-term investment outlook.
A look at Booking Holdings Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
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., a prominent online travel company, is poised for a favorable long-term outlook based on the Smartkarma Smart Scores. With a strong emphasis on Growth, Resilience, and Momentum, the company showcases robust potential for expansion and profitability in the travel industry. The high score in Growth signifies promising prospects for increasing market share and revenue generation, while Resilience and Momentum scores highlight the company’s ability to adapt to changing market conditions and maintain positive business performance.
While Booking Holdings may not score as strongly on the Value aspect, its overall outlook remains optimistic, supported by a decent Dividend score. As a global provider of travel services ranging from accommodations to airline tickets, the company is well-positioned to capitalize on the growing demand for online travel reservations worldwide. Investors may find Booking Holdings an attractive prospect for long-term investment based on its solid Growth, Resilience, and Momentum scores that signal a promising trajectory in the competitive travel market.
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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