Yahoo Finance Booking Holdings (BKNG) Gains But Lags Market: What You Should Know
Booking Holdings (BKNG) closed at $2,647.46 in the latest trading session, marking a +0.12% move from the prior day. The stock lagged the S&P 500's daily gain of 0.62%. Meanwhile, the Dow gained 0.5%, and the Nasdaq, a tech-heavy index, lost 5.66%.
Prior to today's trading, shares of the online booking service had lost 0.07% over the past month. This has lagged the Retail-Wholesale sector's gain of 3.32% and the S&P 500's gain of 3.44% in that time.
Wall Street will be looking for positivity from Booking Holdings as it approaches its next earnings report date. In that report, analysts expect Booking Holdings to post earnings of $28.89 per share. This would mark year-over-year growth of 51.42%. Meanwhile, our latest consensus estimate is calling for revenue of $5.11 billion, up 19.11% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $137.21 per share and revenue of $20.35 billion, which would represent changes of +37.44% and +19.06%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Booking Holdings. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.71% higher within the past month. Booking Holdings is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Booking Holdings is currently trading at a Forward P/E ratio of 19.27. Its industry sports an average Forward P/E of 19.27, so we one might conclude that Booking Holdings is trading at a no noticeable deviation comparatively.
We can also see that BKNG currently has a PEG ratio of 1.17. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. BKNG's industry had an average PEG ratio of 0.97 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Booking Holdings Inc. (BKNG) : Free Stock Analysis Report
