Booking Holdings (BKNG) closed the most recent trading day at $5,165.58, moving +2.76% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 1.16%. Elsewhere, the Dow saw an upswing of 1.21%, while the tech-heavy Nasdaq appreciated by 1.18%.
Heading into today, shares of the online booking service had lost 7.58% over the past month, lagging the Retail-Wholesale sector's gain of 3.08% and the S&P 500's loss of 0.42%.
Analysts and investors alike will be keeping a close eye on the performance of Booking Holdings in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $47.96, marking a 15.43% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $6.11 billion, showing a 11.69% escalation compared to the year-ago quarter.
BKNG's full-year Zacks Consensus Estimates are calling for earnings of $226.72 per share and revenue of $26.68 billion. These results would represent year-over-year changes of +21.18% and 0%, respectively.
Investors should also note any recent changes to analyst estimates for Booking Holdings. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.18% higher within the past month. Currently, Booking Holdings is carrying a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Booking Holdings has a Forward P/E ratio of 19.05 right now. This denotes a premium relative to the industry average Forward P/E of 16.81.
We can also see that BKNG currently has a PEG ratio of 1.09. 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. BKNG's industry had an average PEG ratio of 1.08 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 190, positioning it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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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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