BOOKING HOLDINGS INC (BKNG)
US09857L1089 - Common Stock
Taking everything into account, BKNG scores 6 out of 10 in our fundamental rating. BKNG was compared to 135 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 showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! 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.
BKNG had positive earnings in each of the past 5 years.
In the past 5 years BKNG always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 18.00%, BKNG belongs to the top of the industry, outperforming 97.01% of the companies in the same industry.
BKNG's Return On Invested Capital of 44.48% is amongst the best of the industry. BKNG outperforms 98.51% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BKNG is significantly above the industry average of 10.46%.
The last Return On Invested Capital (44.48%) for BKNG is above the 3 year average (25.12%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18% | ||
| ROE | N/A | ||
| ROIC | 44.48% |
ROA(3y)11.54%
ROA(5y)11.52%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.12%
ROIC(5y)20.66%
1.3 Margins
BKNG's Profit Margin of 21.85% is amongst the best of the industry. BKNG outperforms 97.01% of its industry peers.
BKNG's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 27.92%, BKNG belongs to the best of the industry, outperforming 94.03% of the companies in the same industry.
In the last couple of years the Operating Margin of BKNG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.92% | ||
| PM (TTM) | 21.85% | ||
| GM | N/A |
OM growth 3Y60.06%
OM growth 5Y-5.76%
PM growth 3Y184.9%
PM growth 5Y-6.11%
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.
The number of shares outstanding for BKNG has been reduced compared to 1 year ago.
Compared to 5 years ago, BKNG has less shares outstanding
BKNG has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.81 indicates that BKNG is not in any danger for bankruptcy at the moment.
BKNG has a better Altman-Z score (6.81) than 91.79% of its industry peers.
BKNG has a debt to FCF ratio of 1.91. This is a very positive value and a sign of high solvency as it would only need 1.91 years to pay back of all of its debts.
BKNG has a better Debt to FCF ratio (1.91) than 85.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 1.91 | ||
| Altman-Z | 6.81 |
ROIC/WACC5.08
WACC8.75%
2.3 Liquidity
A Current Ratio of 1.23 indicates that BKNG should not have too much problems paying its short term obligations.
The Current ratio of BKNG (1.23) is better than 61.94% of its industry peers.
BKNG has a Quick Ratio of 1.23. 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 Quick ratio of 1.23. This is in the better half of the industry: BKNG outperforms 66.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
BKNG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.81%, which is quite impressive.
BKNG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.56% yearly.
BKNG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.74%.
Measured over the past years, BKNG shows a quite strong growth in Revenue. The Revenue has been growing by 8.02% on average per year.
EPS 1Y (TTM)21.81%
EPS 3Y220.59%
EPS 5Y10.56%
EPS Q2Q%16%
Revenue 1Y (TTM)11.74%
Revenue growth 3Y46.49%
Revenue growth 5Y8.02%
Sales Q2Q%8.9%
3.2 Future
The Earnings Per Share is expected to grow by 18.11% on average over the next years. This is quite good.
The Revenue is expected to grow by 8.30% on average over the next years. This is quite good.
EPS Next Y21.32%
EPS Next 2Y18.04%
EPS Next 3Y16.62%
EPS Next 5Y18.11%
Revenue Next Year10.07%
Revenue Next 2Y9.37%
Revenue Next 3Y9.14%
Revenue Next 5Y8.3%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.99, BKNG can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of BKNG is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 28.96, BKNG is valued at the same level.
BKNG is valuated rather expensively with a Price/Forward Earnings ratio of 24.15.
The rest of the industry has a similar Price/Forward Earnings ratio as BKNG.
The average S&P500 Price/Forward Earnings ratio is at 23.82. BKNG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.99 | ||
| Fwd PE | 24.15 |
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 73.88% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BKNG is valued a bit cheaper than 73.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.11 | ||
| EV/EBITDA | 24.69 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of BKNG may justify a higher PE ratio.
BKNG's earnings are expected to grow with 16.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.36
PEG (5Y)2.75
EPS Next 2Y18.04%
EPS Next 3Y16.62%
5. Dividend
5.1 Amount
BKNG has a yearly dividend return of 0.70%, which is pretty low.
BKNG's Dividend Yield is a higher than the industry average which is at 2.83.
With a Dividend Yield of 0.70, BKNG pays less dividend than the S&P500 average, which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.7% |
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
DPN/A
EPS Next 2Y18.04%
EPS Next 3Y16.62%
BOOKING HOLDINGS INC
NASDAQ:BKNG (11/22/2024, 11:41:04 AM)
5166
-44.92 (-0.86%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap170.99B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.7% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
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Surprises & Revisions
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EPS NQ rev (3m)
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Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.99 | ||
| Fwd PE | 24.15 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.36
PEG (5Y)2.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 27.92% | ||
| PM (TTM) | 21.85% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)21.81%
EPS 3Y220.59%
EPS 5Y
EPS Q2Q%
EPS Next Y21.32%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)11.74%
Revenue growth 3Y46.49%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y