BOOKING HOLDINGS INC (BKNG) Stock Fundamental Analysis
USA - NASDAQ:BKNG - US09857L1089 - Common Stock
4783.01 USD
-21 (-0.44%)
4783 USD
-0.01 (0%)
Taking everything into account, BKNG scores 6 out of 10 in our fundamental rating. BKNG was compared to 132 industry peers in the Hotels, Restaurants & Leisure industry. BKNG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BKNG is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make BKNG suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
BKNG had positive earnings in the past year.
BKNG had a positive operating cash flow in the past year.
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
BKNG's Return On Assets of 17.54% is amongst the best of the industry. BKNG outperforms 95.45% of its industry peers.
BKNG's Return On Invested Capital of 58.48% is amongst the best of the industry. BKNG outperforms 98.48% 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 10.59%.
The last Return On Invested Capital (58.48%) for BKNG is above the 3 year average (39.14%), which is a sign of increasing profitability.
| 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
With an excellent Profit Margin value of 19.37%, BKNG belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
BKNG's Profit Margin has declined in the last couple of years.
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.
BKNG's Operating Margin has been stable in the last couple of years.
| 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.
The number of shares outstanding for BKNG has been reduced compared to 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 6.89. This indicates that BKNG is financially healthy and has little risk of bankruptcy at the moment.
BKNG has a Altman-Z score of 6.89. This is amongst the best in 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.
Looking at the Debt to FCF ratio, with a value of 2.04, BKNG belongs to the top of the industry, outperforming 84.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | 6.89 |
ROIC/WACC6.95
WACC8.42%
2.3 Liquidity
A Current Ratio of 1.33 indicates that BKNG should not have too much problems paying its short term obligations.
BKNG's Current ratio of 1.33 is fine compared to the rest of the industry. BKNG outperforms 65.15% 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.
BKNG has a Quick ratio of 1.33. This is in the better half of the industry: BKNG outperforms 68.18% of its industry peers.
| 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.
Looking at the last year, BKNG shows a quite strong growth in Revenue. The Revenue has grown by 12.96% in the last year.
Measured over the past years, BKNG shows a quite strong growth in Revenue. The Revenue has been growing by 9.52% on average per year.
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 17.63% on average per year.
BKNG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.28% yearly.
EPS Next Y22.74%
EPS Next 2Y19.8%
EPS Next 3Y18.48%
EPS Next 5Y17.63%
Revenue Next Year13.66%
Revenue Next 2Y11.3%
Revenue Next 3Y10.32%
Revenue Next 5Y9.28%
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 21.62 indicates a rather expensive valuation of BKNG.
Based on the Price/Earnings ratio, BKNG is valued a bit cheaper than the industry average as 60.61% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.51. BKNG is around the same levels.
Based on the Price/Forward Earnings ratio of 17.75, the valuation of BKNG can be described as rather expensive.
Based on the Price/Forward Earnings ratio, BKNG is valued a bit cheaper than the industry average as 62.88% of the companies are valued more expensively.
BKNG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 17.75 |
4.2 Price Multiples
61.36% of the companies in the same industry are cheaper than BKNG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BKNG is valued a bit cheaper than 71.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.64 | ||
| EV/EBITDA | 15.84 |
4.3 Compensation for Growth
BKNG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BKNG has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as BKNG's earnings are expected to grow with 18.48% in the coming years.
PEG (NY)0.95
PEG (5Y)1.71
EPS Next 2Y19.8%
EPS Next 3Y18.48%
5. Dividend
5.1 Amount
With a yearly dividend of 0.76%, BKNG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.58, BKNG pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.76, BKNG pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
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 2Y19.8%
EPS Next 3Y18.48%
4783.01
-21 (-0.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners96%
Inst Owner Change-0.39%
Ins Owners0.16%
Ins Owner Change-8.09%
Market Cap155.02B
Revenue(TTM)26.04B
Net Income(TTM)5.04B
Analysts77.45
Price Target6226.9 (30.19%)
Short Float %1.83%
Short Ratio2.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
Yearly Dividend34.87
Dividend Growth(5Y)N/A
DP24.39%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.07%
Min EPS beat(2)1.98%
Max EPS beat(2)8.15%
EPS beat(4)4
Avg EPS beat(4)15.89%
Min EPS beat(4)1.98%
Max EPS beat(4)40.35%
EPS beat(8)8
Avg EPS beat(8)15.46%
EPS beat(12)12
Avg EPS beat(12)14.36%
EPS beat(16)16
Avg EPS beat(16)32.72%
Revenue beat(2)2
Avg Revenue beat(2)1.47%
Min Revenue beat(2)1.28%
Max Revenue beat(2)1.66%
Revenue beat(4)4
Avg Revenue beat(4)2.05%
Min Revenue beat(4)1.28%
Max Revenue beat(4)3.52%
Revenue beat(8)6
Avg Revenue beat(8)1.49%
Revenue beat(12)8
Avg Revenue beat(12)1.23%
Revenue beat(16)11
Avg Revenue beat(16)1.19%
PT rev (1m)0.86%
PT rev (3m)0.86%
EPS NQ rev (1m)0.31%
EPS NQ rev (3m)0.95%
EPS NY rev (1m)1.72%
EPS NY rev (3m)5.17%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)1.1%
Revenue NY rev (3m)2.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 17.75 | ||
| P/S | 5.95 | ||
| P/FCF | 18.64 | ||
| P/OCF | 17.94 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.84 |
EPS(TTM)221.26
EY4.63%
EPS(NY)269.41
Fwd EY5.63%
FCF(TTM)256.56
FCFY5.36%
OCF(TTM)266.58
OCFY5.57%
SpS803.42
BVpS-146.13
TBVpS-258.13
PEG (NY)0.95
PEG (5Y)1.71
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.54% | ||
| ROE | N/A | ||
| ROCE | 73.6% | ||
| ROIC | 58.48% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 35.29% | ||
| PM (TTM) | 19.37% | ||
| GM | N/A | ||
| FCFM | 31.93% |
ROA(3y)16.97%
ROA(5y)11.22%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)39.14%
ROIC(5y)26.17%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)49.26%
ROCE(5y)32.93%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/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
F-Score6
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.04 | ||
| Debt/EBITDA | 1.63 | ||
| Cap/Depr | 51.67% | ||
| Cap/Sales | 1.25% | ||
| Interest Coverage | 8.47 | ||
| Cash Conversion | 87.99% | ||
| Profit Quality | 164.85% | ||
| Current Ratio | 1.33 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 6.89 |
F-Score6
WACC8.42%
ROIC/WACC6.95
Cap/Depr(3y)74.21%
Cap/Depr(5y)71.46%
Cap/Sales(3y)1.86%
Cap/Sales(5y)2.51%
Profit Quality(3y)166.56%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.18%
EPS 3Y60.13%
EPS 5Y12.66%
EPS Q2Q%18.61%
EPS Next Y22.74%
EPS Next 2Y19.8%
EPS Next 3Y18.48%
EPS Next 5Y17.63%
Revenue 1Y (TTM)12.96%
Revenue growth 3Y29.39%
Revenue growth 5Y9.52%
Sales Q2Q%12.68%
Revenue Next Year13.66%
Revenue Next 2Y11.3%
Revenue Next 3Y10.32%
Revenue Next 5Y9.28%
EBIT growth 1Y42.79%
EBIT growth 3Y46.73%
EBIT growth 5Y8.2%
EBIT Next Year28.03%
EBIT Next 3Y16.75%
EBIT Next 5Y14.78%
FCF growth 1Y5.99%
FCF growth 3Y46.4%
FCF growth 5Y11.91%
OCF growth 1Y5.74%
OCF growth 3Y43.44%
OCF growth 5Y11.34%
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 of BOOKING HOLDINGS INC (BKNG) stock?
ChartMill assigns a valuation rating of 5 / 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 is the valuation of BOOKING HOLDINGS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BOOKING HOLDINGS INC (BKNG) is 21.62 and the Price/Book (PB) ratio is -32.73.
How sustainable is the dividend of BOOKING HOLDINGS INC (BKNG) stock?
The dividend rating of BOOKING HOLDINGS INC (BKNG) is 2 / 10 and the dividend payout ratio is 24.39%.