Booking Holdings (BKNG) Advances But Underperforms Market: Key Facts

Core Viewpoint - Booking Holdings is experiencing a mixed performance in the market, with a slight increase in stock price recently but a notable decline over the past month compared to broader market indices [1][2]. Financial Performance - The upcoming earnings report is expected to show an EPS of $17.57, reflecting a 13.83$4.59 billion, indicating a 4.07% increase year-over-year [2]. - For the entire fiscal year, earnings are projected at $210.22 per share and revenue at$25.22 billion, representing increases of 12.36% and 6.25% respectively from the prior year [3]. Analyst Estimates - Recent changes in analyst estimates suggest a favorable outlook on Booking Holdings' business health and profitability, with the Zacks Consensus EPS estimate increasing by 0.08% in the past month [4][6]. - Booking Holdings currently holds a Zacks Rank of 3 (Hold), indicating a neutral outlook [6]. Valuation Metrics - The company is trading at a Forward P/E ratio of 22.29, which is higher than the industry average of 21.53 [6]. - The PEG ratio for Booking Holdings is 1.68, compared to the Internet - Commerce industry average of 1.33, suggesting a premium valuation relative to expected earnings growth [7]. Industry Context - The Internet - Commerce industry, part of the Retail-Wholesale sector, has a Zacks Industry Rank of 75, placing it in the top 31% of over 250 industries [7][8]. - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1, highlighting the competitive landscape within the industry [8].