Booking Holdings Inc.
Booking Holdings Inc. Fundamental Analysis
Booking Holdings Inc. (BKNG.SW) shows moderate financial fundamentals with a PE ratio of 4.58, profit margin of 10.60%, and ROE of -19.19%. The company generates $285.3B in annual revenue with strong year-over-year growth of 11.11%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 69.6/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze BKNG.SW's fundamental strength across five key dimensions:
Efficiency Score
WeakBKNG.SW struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBKNG.SW trades at attractive valuation levels.
Growth Score
ExcellentBKNG.SW delivers strong and consistent growth momentum.
Financial Health Score
ExcellentBKNG.SW maintains a strong and stable balance sheet.
Profitability Score
WeakBKNG.SW struggles to sustain strong margins.
Key Financial Metrics
Is BKNG.SW Expensive or Cheap?
P/E Ratio
BKNG.SW trades at 4.58 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BKNG.SW's PEG of 0.04 indicates potential undervaluation.
Price to Book
The market values Booking Holdings Inc. at -0.85 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 46.68 times EBITDA. This signals the market has high growth expectations.
How Well Does BKNG.SW Make Money?
Net Profit Margin
For every $100 in sales, Booking Holdings Inc. keeps $10.60 as profit after all expenses.
Operating Margin
Core operations generate 29.22 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-19.19 in profit for every $100 of shareholder equity.
ROA
Booking Holdings Inc. generates $4.02 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Booking Holdings Inc. generates strong operating cash flow of $160.18B, reflecting robust business health.
Free Cash Flow
Booking Holdings Inc. generates strong free cash flow of $155.60B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $193.64 in free cash annually.
FCF Yield
BKNG.SW converts 4.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
4.58
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
-0.85
vs 25 benchmark
P/S Ratio
Price to sales ratio
12.01
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-2.85
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.25
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.19
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.28
vs 25 benchmark
How BKNG.SW Stacks Against Its Sector Peers
| Metric | BKNG.SW Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 4.58 | 24.08 | Better (Cheaper) |
| ROE | -19.19% | 1157.00% | Weak |
| Net Margin | 10.60% | 794.00% | Weak |
| Debt/Equity | -2.85 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 1.25 | 2.80 | Neutral |
| ROA | 4.02% | -8018.00% (disorted) | Weak |
BKNG.SW outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Booking Holdings Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
101.90%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
54.92%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
119.21%
Industry Style: Cyclical, Growth, Discretionary
High Growth