In the latest trading session, Booking Holdings (BKNG) closed at $5,559.83, marking a +1.86% move from the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.47%. Elsewhere, the Dow gained 0.11%, while the tech-heavy Nasdaq added 0.94%.
Shares of the online booking service have appreciated by 0.07% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 3.05%, and the S&P 500's gain of 2.32%.
Market participants will be closely following the financial results of Booking Holdings in its upcoming release. In that report, analysts expect Booking Holdings to post earnings of $95.56 per share. This would mark year-over-year growth of 13.91%. At the same time, our most recent consensus estimate is projecting a revenue of $8.71 billion, reflecting a 9.01% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $220.74 per share and revenue of $26.36 billion. These totals would mark changes of +17.98% and +11.03%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Booking Holdings. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Booking Holdings is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Booking Holdings is at present trading with a Forward P/E ratio of 24.73. This expresses a premium compared to the average Forward P/E of 19.7 of its industry.
One should further note that BKNG currently holds a PEG ratio of 1.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Internet - Commerce industry held an average PEG ratio of 1.53.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 86, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Booking Holdings Inc. (BKNG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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