5098.5 USD
-52.4 (-1.02%)
5098.5 USD
0 (0%)
Overall BKNG gets a fundamental rating of 6 out of 10. We evaluated BKNG against 132 industry peers in the Hotels, Restaurants & Leisure industry. BKNG gets an excellent profitability rating and is at the same time showing great financial health properties. BKNG is not overvalued while it is showing excellent growth. This is an interesting combination. With these ratings, BKNG could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- In the past year BKNG was profitable.
- BKNG had a positive operating cash flow in the past year.
- BKNG had positive earnings in each of the past 5 years.
- Each year in the past 5 years BKNG had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 17.54%, BKNG belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
- BKNG's Return On Invested Capital of 58.48% is amongst the best of the industry. BKNG outperforms 99.24% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BKNG is significantly above the industry average of 10.36%.
- The 3 year average ROIC (39.14%) for BKNG is below the current ROIC(58.48%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.54% | ||
| ROE | N/A | ||
| ROIC | 58.48% |
ROA(3y)16.97%
ROA(5y)11.22%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)39.14%
ROIC(5y)26.17%
1.3 Margins
- Looking at the Profit Margin, with a value of 19.37%, BKNG belongs to the top of the industry, outperforming 92.42% of the companies in the same industry.
- In the last couple of years the Profit Margin of BKNG has declined.
- With an excellent Operating Margin value of 35.29%, BKNG belongs to the best of the industry, outperforming 98.48% of the companies in the same industry.
- In the last couple of years the Operating Margin of BKNG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.29% | ||
| PM (TTM) | 19.37% | ||
| GM | N/A |
OM growth 3Y13.4%
OM growth 5Y-1.21%
PM growth 3Y32.58%
PM growth 5Y-5.16%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BKNG is creating value.
- Compared to 1 year ago, BKNG has less shares outstanding
- Compared to 5 years ago, BKNG has less shares outstanding
- The debt/assets ratio for BKNG is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 7.06 indicates that BKNG is not in any danger for bankruptcy at the moment.
- BKNG's Altman-Z score of 7.06 is amongst the best of the industry. BKNG outperforms 91.67% of its industry peers.
- BKNG has a debt to FCF ratio of 2.04. This is a good value and a sign of high solvency as BKNG would need 2.04 years to pay back of all of its debts.
- BKNG has a Debt to FCF ratio of 2.04. This is amongst the best in the industry. BKNG outperforms 86.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | 7.06 |
ROIC/WACC6.85
WACC8.54%
2.3 Liquidity
- BKNG has a Current Ratio of 1.33. This is a normal value and indicates that BKNG is financially healthy and should not expect problems in meeting its short term obligations.
- BKNG's Current ratio of 1.33 is fine compared to the rest of the industry. BKNG outperforms 65.91% of its industry peers.
- A Quick Ratio of 1.33 indicates that BKNG should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.33, BKNG is in the better half of the industry, outperforming 69.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.33 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 24.18% over the past year.
- Measured over the past years, BKNG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.66% on average per year.
- The Revenue has grown by 12.96% in the past year. This is quite good.
- BKNG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.52% yearly.
EPS 1Y (TTM)24.18%
EPS 3Y60.13%
EPS 5Y12.66%
EPS Q2Q%18.61%
Revenue 1Y (TTM)12.96%
Revenue growth 3Y29.39%
Revenue growth 5Y9.52%
Sales Q2Q%12.68%
3.2 Future
- Based on estimates for the next years, BKNG will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.61% on average per year.
- The Revenue is expected to grow by 9.39% on average over the next years. This is quite good.
EPS Next Y21.87%
EPS Next 2Y20.4%
EPS Next 3Y18.85%
EPS Next 5Y17.61%
Revenue Next Year13.74%
Revenue Next 2Y11.41%
Revenue Next 3Y10.5%
Revenue Next 5Y9.39%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 23.04 indicates a rather expensive valuation of BKNG.
- BKNG's Price/Earnings ratio is a bit cheaper when compared to the industry. BKNG is cheaper than 63.64% of the companies in the same industry.
- BKNG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.21.
- With a Price/Forward Earnings ratio of 18.73, BKNG is valued on the expensive side.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of BKNG indicates a somewhat cheap valuation: BKNG is cheaper than 65.91% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, BKNG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.04 | ||
| Fwd PE | 18.73 |
4.2 Price Multiples
- BKNG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. BKNG is more expensive than 61.36% of the companies in the same industry.
- 71.97% of the companies in the same industry are more expensive than BKNG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.76 | ||
| EV/EBITDA | 16.78 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- BKNG has a very decent profitability rating, which may justify a higher PE ratio.
- BKNG's earnings are expected to grow with 18.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)1.82
EPS Next 2Y20.4%
EPS Next 3Y18.85%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.75%, BKNG is not a good candidate for dividend investing.
- BKNG's Dividend Yield is a higher than the industry average which is at 1.21.
- Compared to an average S&P500 Dividend Yield of 1.81, BKNG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
5.2 History
- BKNG is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 24.39% of the earnings are spent on dividend by BKNG. This is a low number and sustainable payout ratio.
DP24.39%
EPS Next 2Y20.4%
EPS Next 3Y18.85%
BOOKING HOLDINGS INC / BKNG FAQ
What is the ChartMill fundamental rating of BOOKING HOLDINGS INC (BKNG) stock?
ChartMill assigns a fundamental rating of 6 / 10 to BKNG.
What is the valuation status for BKNG stock?
ChartMill assigns a valuation rating of 4 / 10 to BOOKING HOLDINGS INC (BKNG). This can be considered as Fairly Valued.
What is the profitability of BKNG stock?
BOOKING HOLDINGS INC (BKNG) has a profitability rating of 7 / 10.
What are the PE and PB ratios of BOOKING HOLDINGS INC (BKNG) stock?
The Price/Earnings (PE) ratio for BOOKING HOLDINGS INC (BKNG) is 23.04 and the Price/Book (PB) ratio is -34.7.
Can you provide the dividend sustainability for BKNG stock?
The dividend rating of BOOKING HOLDINGS INC (BKNG) is 2 / 10 and the dividend payout ratio is 24.39%.