5150.9 USD
-12.71 (-0.25%)
5145 USD
-5.9 (-0.11%)
BKNG gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 133 industry peers in the Hotels, Restaurants & Leisure industry. Both the health and profitability get an excellent rating, making BKNG a very profitable company, without any liquidiy or solvency issues. BKNG is growing strongly while it is still valued neutral. This is a good 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.
- In the past year BKNG had a positive cash flow from operations.
- Each year in the past 5 years BKNG has been profitable.
- BKNG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- BKNG's Return On Assets of 17.54% is amongst the best of the industry. BKNG outperforms 95.49% of its industry peers.
- BKNG's Return On Invested Capital of 58.48% is amongst the best of the industry. BKNG outperforms 99.25% of its industry peers.
- BKNG had an Average Return On Invested Capital over the past 3 years of 39.14%. This is significantly above the industry average of 10.34%.
- 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
- BKNG has a Profit Margin of 19.37%. This is amongst the best in the industry. BKNG outperforms 92.48% of its industry peers.
- In the last couple of years the Profit Margin of BKNG has declined.
- Looking at the Operating Margin, with a value of 35.29%, BKNG belongs to the top of the industry, outperforming 98.50% 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
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), BKNG is creating value.
- The number of shares outstanding for BKNG has been reduced compared to 1 year ago.
- BKNG has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, BKNG has a worse debt to assets ratio.
2.2 Solvency
- BKNG has an Altman-Z score of 7.09. This indicates that BKNG is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of BKNG (7.09) is better than 91.73% of its industry peers.
- The Debt to FCF ratio of BKNG is 2.04, which is a good value as it means it would take BKNG, 2.04 years of fcf income to pay off all of its debts.
- BKNG has a better Debt to FCF ratio (2.04) than 86.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | 7.09 |
ROIC/WACC6.83
WACC8.56%
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 has a Current ratio of 1.33. This is in the better half of the industry: BKNG outperforms 66.17% of its industry peers.
- BKNG has a Quick 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.
- Looking at the Quick ratio, with a value of 1.33, BKNG is in the better half of the industry, outperforming 69.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.33 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
- BKNG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.18%, which is quite impressive.
- The Earnings Per Share has been growing by 12.66% on average over the past years. This is quite good.
- BKNG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.96%.
- 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.
- Based on estimates for the next years, BKNG will show a quite strong growth in Revenue. The Revenue will grow by 9.39% on average per year.
EPS Next Y21.8%
EPS Next 2Y20.18%
EPS Next 3Y18.73%
EPS Next 5Y17.61%
Revenue Next Year13.74%
Revenue Next 2Y11.4%
Revenue Next 3Y10.49%
Revenue Next 5Y9.39%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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 23.28 indicates a rather expensive valuation of BKNG.
- Compared to the rest of the industry, the Price/Earnings ratio of BKNG indicates a somewhat cheap valuation: BKNG is cheaper than 63.16% of the companies listed in the same industry.
- BKNG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 19.00, which indicates a rather expensive current valuation of BKNG.
- BKNG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BKNG is cheaper than 63.16% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.32. BKNG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.28 | ||
| Fwd PE | 19 |
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 61.65% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, BKNG is valued a bit cheaper than the industry average as 72.93% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.97 | ||
| EV/EBITDA | 16.96 |
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 18.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)1.84
EPS Next 2Y20.18%
EPS Next 3Y18.73%
5. Dividend
5.1 Amount
- BKNG has a yearly dividend return of 0.60%, which is pretty low.
- Compared to an average industry Dividend Yield of 1.19, BKNG pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, BKNG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
5.2 History
- BKNG does not have a reliable dividend history as it only pays dividend since a couple or years.
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 2Y20.18%
EPS Next 3Y18.73%
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 23.28 and the Price/Book (PB) ratio is -35.05.
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%.