Booking Holdings(US:BKNG) CNBC Televisionยท2025-07-30 12:37Financial Performance & Market Trends - Booking Holdings exceeded second-quarter profit and revenue estimates, driven by international booking strength offsetting weaker US travel spending [1] - People are prioritizing travel spending, even amidst economic softness [2] - US faces a significant deficit in inbound travelers compared to 2019 levels, negatively impacting the US hotel industry and employment [3] - The strong US dollar is not the primary reason for the decline in international visitors; geopolitical factors and negative experiences at US entry points are likely contributing factors [6] - A two-speed economy is emerging, with lower-end hotels (two-star, three-star) and economy class air travel experiencing more softness [12][13] - Over 30% of Booking.com's customers are frequent travelers (Genius levels 2 and 3), generating mid-50% of accommodations revenue, making the company less vulnerable to economic downturns [13][14] Strategic Initiatives & Technology - Booking Holdings is actively addressing issues hindering international travel to the US by engaging with government officials and agencies [8] - The company is preparing for major upcoming events like the World Cup and Olympics in the US to capitalize on increased tourism [9] - Booking Holdings is a founding partner with OpenAI and collaborates with Microsoft and Amazon to integrate AI into its services [16][17] - The company views AI as a collaborative opportunity rather than a threat of disintermediation, emphasizing its established relationships and complex business model [18] - Over the past 25 years, despite constant claims of disintermediation, the company's stock has increased significantly [19][20]