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BKNG stock soars to all-time high, reaches $4860.61

Published 05/11/2024, 15:40
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In a remarkable display of market confidence, Booking Holdings Inc. (NASDAQ:BKNG), formerly known as Priceline.com Inc., has reached an all-time high, with its stock price soaring to $4860.61. This milestone underscores the company's robust performance and investor optimism in the travel industry's recovery. Over the past year, BKNG has witnessed an impressive 62.74% increase in its stock value, reflecting a strong rebound as travel demand surges post-pandemic. The company's strategic initiatives and expansion of its online travel platform have played a significant role in this growth, positioning BKNG as a leading figure in the global travel market.

In other recent news, Booking Holdings has been the focus of several analyst revisions. Citi maintained its Buy rating for the company while raising its stock target from $4,100 to $5,500, citing a reacceleration in growth trends. The firm highlighted Booking Holdings' 8% year-over-year rise in room nights and a 14% increase in alternative accommodations.

RBC Capital and Susquehanna also raised their price targets for the company, following strong third-quarter results that exceeded expectations. Booking Holdings reported a 9% increase in gross bookings and revenue, with EBITDA reaching $3.7 billion and non-GAAP earnings per share of $83.89.

These recent developments reflect the company's strategic growth in the travel industry. Booking Holdings reported nearly 300 million room nights booked, marking an 8% increase from the previous year. The company's full-year projections have improved, with gross bookings expected to increase by around 8%, and revenue growth anticipated to be just below 10%. The company also aims for adjusted EBITDA growth of 13-14% and adjusted EPS growth in the high teens.

Analysts from RBC Capital and Susquehanna have expressed confidence in the company's continued performance and its ability to capitalize on the rebounding demand, particularly in the European alternative accommodations sector. These firms suggest that Booking Holdings is a top investment choice within the travel industry.

InvestingPro Insights

Booking Holdings Inc.'s recent stock performance aligns with several key metrics and insights from InvestingPro. The company's market capitalization stands at an impressive $160.28 billion, reflecting its dominant position in the online travel industry. This valuation is supported by strong financial performance, with revenue reaching $23.05 billion in the last twelve months as of Q3 2024, representing a growth of 11.74%.

InvestingPro Tips highlight Booking's impressive gross profit margins, which are confirmed by the data showing a gross profit margin of 84.67% for the same period. This exceptional profitability underscores the company's efficient business model and strong market position.

Another InvestingPro Tip notes that the stock has seen a significant return over the last week, which is corroborated by the 7.88% one-week price total return. This recent surge has contributed to the stock trading near its 52-week high, with the current price at 99.33% of that peak.

It's worth noting that while the stock's performance has been stellar, it is trading at a high P/E ratio of 32.65, which may indicate that the stock is priced for high growth expectations. Investors considering BKNG should be aware that there are 21 additional InvestingPro Tips available, offering a more comprehensive analysis of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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