ABNB - Booking Holdings: Still Leading The Online Travel Agent Pack

2024-06-03 04:31:44 ET

Summary

• Booking Holdings is a leading player in the online travel agency market, with a strong market position and financial strength.
• The company has experienced a shift in revenue mix from agency transactions to merchant transactions, which has led to lower operating margins.
• Despite slowing growth, BKNG is expected to maintain a growth rate of 10-14% over the next 5 years, with a focus on maintaining its market leadership.
• I estimate that Booking Holdings is currently priced at the upper end of my intrinsic valuation curve and is therefore a Hold.

Author's Preamble

I have an actively managed investment portfolio and I regularly trade stocks within my investing universe (or watch list) depending upon the stock's price relative to my estimate of its intrinsic value and its market trading patterns (technical indicators).

I share my valuations with readers as a way to get feedback and to gain new insights from other knowledgeable investors....

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