Core Insights - Booking Holdings Inc. is participating in the Morgan Stanley Technology, Media & Telecom Conference, highlighting its engagement with investors and analysts [1][3] - Ewout Steenbergen, the CFO of Booking Holdings, is reflecting on his first year in the role, indicating a focus on operational expenditures and investment adjustments as the company looks towards 2025 [5][9] Company Focus - The company has been prioritizing a review of its operational expenditure base and areas of investment, suggesting a strategic approach to resource allocation [9] - There is an emphasis on core trends and potential disruptions within the industry, indicating that the company is actively monitoring macro and microeconomic factors that could impact its performance [3][9]

Group 1: Booking Holdings - Booking Holdings (BKNG) reported strong fourth-quarter results driven by robust travel demand and is investing in generative AI technology to enhance value for travelers and partners [3][4] - Analyst Mark Mahaney from Evercore reiterated a buy rating on BKNG, raising the price target to $5,500 from $5,300, citing strong performance across all geographic markets and travel verticals [4][6] - BKNG's growth metrics, including bookings, revenue, and room nights, outpaced competitors like Airbnb and Expedia, with Mahaney highlighting BKNG as the highest quality online travel stock due to its scale and management [5][6] Group 2: Visa - Visa (V) discussed its growth strategy and revenue opportunities in Value Added Services (VAS) during its investor day on February 20, reaffirming a buy rating with a price target of $370 [9][10] - The company estimates a $41 trillion volume opportunity in Consumer Payments, with $23 trillion currently underserved, and projects long-term revenue growth of 9% to 12% in VAS [11][12] - Analyst Rufus Hone views Visa as a core holding in the U.S. financial space, expecting the company to sustain double-digit top-line growth [13] Group 3: CyberArk Software - CyberArk Software (CYBR) announced solid Q4 2024 results and discussed its growth prospects during its investor day, leading to a buy rating and an increased price target of $465 from $455 [14][15] - The total addressable market (TAM) for CyberArk has increased to $80 billion, driven by demand for machine-identity solutions and AI-driven security [15][16] - Management targets annual recurring revenue of $2.3 billion and a free cash flow margin of 27% by 2028, supported by platform consolidation trends [18]

Core Insights - Booking Holdings reported strong financial performance for Q4 2024, with gross bookings of $166 billion, an increase of 10% year-over-year, and revenue of $24 billion, growing 11% year-over-year, alongside adjusted EBITDA of over $8 billion, which increased 17% year-over-year [2] - The company is optimistic about continued growth in 2025, projecting at least 8% revenue growth and 15% earnings growth on a constant-currency basis [2] Financial Performance - Booking achieved a 170 basis points increase in adjusted EBITDA margins to 35%, exceeding management's expectations [2] - The company is focused on maintaining profitability while investing in strategic initiatives, with a transformation program expected to deliver $400 million to $450 million in annual run-rate cost savings [8] AI Strategy - Booking is adopting a dual-pronged strategy for AI, developing proprietary capabilities and forming partnerships with major AI companies to enhance customer experience [3][4] - The company is leveraging AI to improve operational efficiency, particularly in customer service, while maintaining stable expenses [4] Merchant Platform Expansion - The transition from an agency model to a merchant platform is creating new revenue streams, with merchant gross bookings reaching 59% of total gross bookings, an increase of about 9 percentage points year-over-year [5] - This shift allows Booking to bundle travel components more effectively and offer flexible payment options, enhancing the overall customer experience [5] Alternative Accommodations Growth - Alternative accommodations are experiencing accelerated growth, with listings reaching 7.9 million, an 8% increase year-over-year, and bookings increasing by 19% in Q4 [6][7] - The ability to offer both traditional and alternative accommodations side-by-side is resonating with consumers, contributing to growth across all global regions [7] Strategic Transformation - The company is implementing a comprehensive efficiency program while continuing to invest in strategic growth initiatives, with an estimated $150 million in cost savings embedded in the 2025 guidance [8] - Management plans to reinvest approximately $170 million into strategic priorities, including AI capabilities and expanded fintech offerings, reflecting a balanced approach to profitability and long-term growth [8] Future Outlook - Leadership at Booking Holdings expresses confidence in the company's strategic direction, emphasizing adaptability and the enduring appeal of travel experiences [9] - The focus remains on advancing the connected trip vision, expanding merchant and fintech capabilities, and leveraging AI for customer experience improvements [10]

Group 1 - Booking Holdings' CFO Ewout Steenbergen will participate in a fireside chat at the Morgan Stanley Technology, Media & Telecom Conference on March 5, 2025 [1] - The event will begin at 3:20 pm PT / 6:20 pm ET and will be available for public listening via a live audio cast [1] - A replay of the presentation will be accessible approximately 24 hours after the event [1] Group 2 - Booking Holdings is the world's leading provider of online travel and related services, operating in over 220 countries and territories [2] - The company offers services through five primary consumer-facing brands: Booking.com, Priceline, Agoda, KAYAK, and OpenTable [2] - The mission of Booking Holdings is to facilitate global travel experiences for everyone [2]

Market Overview - U.S. stocks experienced a decline on Friday, with the Dow Jones index dropping over 700 points during the session [1] - The S&P 500 fell by 1.71% to 6,013.13, while the Nasdaq Composite decreased by 2.20% to 19,524.01 [1] Analyst Insights - Wall Street analysts frequently update stock picks, but their track records in predicting market movements can be inconsistent [2] - Analyst ratings and price targets can vary significantly, leading to confusion among investors regarding which opinions to trust [2] Benzinga Analyst Ratings - Benzinga's Analyst Ratings API compiles high-quality stock ratings through partnerships with major sell-side banks, providing daily updates three hours before the U.S. equity market opens [3] - Insights from Benzinga Pro subscribers have been shown to serve as effective trading indicators, helping to outperform the stock market [3] Top Analyst Picks - Benzinga provides access to the latest analyst ratings, allowing traders to sort by analyst accuracy [4] - The following analysts have maintained high accuracy rates of 86%: - Lloyd Walmsley: Maintained a Buy rating on Booking Holdings Inc. (BKNG) with a price target increase from $5,560 to $5,960, indicating a potential upside of around 20% [5] - Mark Kelley: Maintained a Hold rating on Wayfair Inc. (W) with a price target reduction from $47 to $46, suggesting a potential surge of about 9% [5] - Doug Anmuth: Maintained an Underweight rating on Tripadvisor, Inc. (TRIP) with a price target increase from $14 to $15, indicating a potential downside of around 1% [5] - Alexander Paris: Maintained an Outperform rating on Lincoln Educational Services Corporation (LINC) with a price target of $20, suggesting a potential surge of about 22% [5] - William Stein: Maintained a Hold rating on Analog Devices, Inc. (ADI) with a price target increase from $230 to $248, indicating a potential upside of around 4% [6]

Core Insights - Booking Holdings (BKNG) reported fourth-quarter 2024 earnings of $41.55 per share, exceeding the Zacks Consensus Estimate by 16.58% and reflecting a year-over-year increase of 29.8% [1] - The company's revenues reached $5.47 billion, surpassing the Zacks Consensus Estimate by 5.50% and showing a year-over-year growth of 14.4% [2] - BKNG's investments in AI-driven tools contributed to enhanced user experience and operational efficiency, leading to a 33.2% appreciation in stock price over the past six months [3] Financial Performance - Merchant revenues were $3.33 billion, accounting for 61% of total revenues, and increased by 35.1% year over year [4] - Agency revenues were $1.86 billion, representing 34.1% of total revenues, but decreased by 9.9% year over year [4] - Advertising & Other revenues totaled $271 million, making up 5% of total revenues, with a year-over-year increase of 9.7% [4] - Adjusted EBITDA for the quarter was $1.8 billion, up 26.2% year over year, with an adjusted EBITDA margin of 33.8%, expanding by 320 basis points [7] Booking Metrics - Total gross bookings amounted to $37.2 billion, reflecting a year-over-year increase of 17.3% [6] - Merchant bookings were $24.2 billion, up 31.7% year over year, while agency bookings totaled $12.9 billion, down 2.7% year over year [6] - Booked room nights reached 261 million, representing a 13% increase year over year [5] Balance Sheet and Cash Flow - As of December 31, 2024, cash and cash equivalents stood at $16.16 billion, an increase from $15.78 billion as of September 30, 2024 [8] - Total debt rose to $16.59 billion from $16.21 billion in the previous quarter [8] - Free cash flow was reported at $0.6 billion, down from $2.3 billion in the previous quarter [8] Future Guidance - For the first quarter of 2025, Room Night Growth is anticipated to be between 5% and 7% [9] - Gross Bookings growth is expected to be in the range of 5% to 7% [9] - Revenue growth for the first quarter is projected to be between 2% and 4%, with adjusted EBITDA expected to be between $800 million and $850 million [9]

Core Insights - Booking Holdings reported fourth-quarter results that exceeded expectations, leading to a rise in its stock price during premarket trading [2][7] - The company achieved $5.47 billion in revenue for Q4 2024, surpassing the $5.19 billion forecast by analysts [2] - Adjusted earnings per share (EPS) were $41.55, significantly higher than the $36.70 consensus [3] Financial Performance - Gross bookings reached $37.2 billion, exceeding the $34.5 billion estimate from analysts [3] - All key metrics, including bookings, revenue, and adjusted EPS, showed year-over-year growth [3] Corporate Actions - Booking announced a new $20 billion stock buyback program, in addition to the remaining $7.7 billion from the previous program [4] - The quarterly dividend was increased by 10% to $9.60 per share, up from $8.75 a year ago [4] Future Outlook - The company anticipates revenue growth of 2% to 4% year-over-year in Q1, with gross bookings expected to rise by 5% to 7% [5] - For the full year, mid-single digit percentage increases are expected for both revenue and gross bookings, while adjusted EPS is projected to grow in the low double-digit percentage range [5] Analyst Reactions - Analysts from Jefferies and JPMorgan raised their price targets for Booking stock to $5,400 and $5,750, respectively, following the earnings report [6] - Travel demand was noted to remain strong, and the company plans to increase its social media advertising spend, particularly on Meta Platforms [6] - Booking shares rose approximately 3% on the day of the report and have increased roughly 35% over the past year [6]

Booking Holdings Inc. (NASDAQ:BKNG) Q4 2024 Earnings Conference Call February 20, 2025 4:30 PM ET Company Participants Glenn Fogel - CEO Ewout Steenbergen - CFO Conference Call Participants Lee Horowitz - Deutsche Bank Mark Mahaney - Evercore ISI Brian Nowak - Morgan Stanley Kevin Kopelman - TD Cowen Stephen Ju - UBS Justin Post - Bank of America Operator Welcome to Booking Holdings' Fourth Quarter 2024 Conference Call. Booking Holdings would like to remind everyone that this call may contain forward-lookin ...

Core Insights - Booking Holdings' long-term strategy is centered around the transformative potential of generative artificial intelligence (GenAI) as articulated by CEO Glenn Fogel [1][2] - Fogel believes GenAI will redefine travel experiences, enabling personalized planning and seamless journeys for travelers [2] Company Developments - Booking.com is implementing GenAI to improve customer experience with features like the Smart Filter tool and Property Q&A, which provide tailored accommodation results and specific property details [3] - The company is also experimenting with GenAI reviews to summarize customer feedback [3] Operational Efficiency - Fogel highlighted that the development of AI agents will integrate various travel elements into a connected platform, enhancing operational efficiency and customer service [4] - Early benefits of GenAI in customer service have already been observed, with plans to expand these initiatives [4] Industry Trends - The vision of Booking Holdings aligns with industry trends, as a report indicates that 52% of customers expect AI to assist in interactions, and 44% believe it will enhance guest engagement [4] Financial Performance - In the fourth quarter, Booking Holdings reported a 13% growth in room nights and a 17% increase in gross bookings, totaling $37.2 billion, with revenue rising 14% to $5.5 billion [5] - For the full year, room nights increased by 9%, gross bookings grew by 10%, and revenue rose by 11% to $23.7 billion [5] Strategic Initiatives - The company is focused on strategic initiatives such as the "connected trip" vision, advancements in AI, and the expansion of the Genius loyalty program [6] - The Genius loyalty program is seeing positive progress, with 30% of travelers moving into higher tiers, which correlates with increased booking and frequency rates [7] Customer Experience Enhancement - Fogel noted that agentic models will transform how customers interact with the platform, providing unique value through loyalty benefits, high-quality customer service, and a trusted payment process [8] - The emphasis is on delivering value and maintaining trust to ensure customers choose Booking Holdings for their bookings [8]

Group 1 - Booking Holdings reported $5.47 billion in revenue for Q4 2024, a year-over-year increase of 14.4% [1] - The EPS for the same period was $41.55, compared to $32.00 a year ago, indicating significant growth [1] - The reported revenue exceeded the Zacks Consensus Estimate of $5.19 billion by 5.50%, and the EPS also surpassed the consensus estimate of $35.64 by 16.58% [1] Group 2 - Key metrics indicate that Booking Holdings' gross bookings totaled $37.20 billion, exceeding the average estimate of $34.34 billion [4] - Agency gross bookings were reported at $12.90 billion, above the estimated $12.11 billion, while merchant gross bookings reached $24.20 billion, surpassing the estimate of $22.28 billion [4] - Units sold for room nights were 261 million, exceeding the estimate of 249.35 million, and airline tickets sold were 14 million, above the estimate of 12.36 million [4] Group 3 - Revenue from the agency segment was $1.86 billion, slightly below the average estimate of $1.94 billion, representing a year-over-year decline of 9.9% [4] - Advertising and other revenues were reported at $271 million, exceeding the estimate of $256.63 million, with a year-over-year increase of 9.7% [4] - Merchant revenue was $3.34 billion, significantly above the estimate of $2.99 billion, reflecting a year-over-year increase of 35.1% [4] Group 4 - Over the past month, shares of Booking Holdings have returned +10.6%, outperforming the Zacks S&P 500 composite's +2.6% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]