Booking Holdings(US:BKNG) Xin Lang Cai Jing·2025-10-07 23:31Core Viewpoint - Booking Holdings experienced a significant stock decline of 3.28%, reaching its lowest point since May 2025, raising investor concerns about its financial performance and market strategy [1]. Financial Performance - In the first half of 2025, Booking Holdings reported total revenue of $11.56 billion, a year-on-year increase of 12.52%, but net profit plummeted by 46.54% to $1.23 billion [1]. - The decline in profit is closely linked to the company's strategy of expanding market share and increasing business investments, particularly high spending on advertising and marketing, which, while boosting revenue, has compressed profit margins [1]. Market Strategy and Analyst Ratings - Wells Fargo maintained a "hold" rating on Booking Holdings with a target price of $5,443, reflecting cautious sentiment among analysts regarding the company's performance in the global travel market and its expansion strategy in emerging markets [1]. - Despite the company's expansion plans, uncertainties in the global economy, intensified competition in emerging markets, and foreign exchange fluctuations have led to a cautious outlook on future profit growth [1]. Industry Trends - The online travel industry is facing increasing competition due to changing consumer preferences and travel patterns, necessitating continuous investment in technology to maintain competitiveness, which further raises operational costs [2]. - Booking Holdings operates in a challenging environment within the global travel market, where its current financial performance indicates robust revenue growth but pressured profits, highlighting the need for effective cost control and market expansion strategies in the short term [2].