Bernstein maintains Booking stock Market Perform, $5,200 target

The discussion of artificial intelligence (AI) during Booking’s earnings call was also a focal point for Bernstein. Unlike Expedia (NASDAQ:EXPE), Booking’s conversation was dominated by AI topics. The company acknowledged the potential risk of disintermediation from AI, which, unlike Google (NASDAQ:GOOGL) that directed customers to Booking.com, could navigate on behalf of users itself. This development poses a risk to Booking’s business model, which relies heavily on direct customer interaction for cross-selling, upselling, and sponsored listings. Despite these concerns, Bernstein’s position on Booking Holdings (NASDAQ:BKNG) remains a Market Perform. InvestingPro data shows the company trading at a high EBITDA multiple of 20.1x, suggesting premium valuation. For deeper insights into Booking’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers. InvestingPro data shows the company trading at a high EBITDA multiple of 20.1x, suggesting premium valuation. For deeper insights into Booking’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

The discussion of artificial intelligence (AI) during Booking’s earnings call was also a focal point for Bernstein. Unlike Expedia, Booking’s conversation was dominated by AI topics. The company acknowledged the potential risk of disintermediation from AI, which, unlike Google that directed customers to Booking.com, could navigate on behalf of users itself. This development poses a risk to Booking’s business model, which relies heavily on direct customer interaction for cross-selling, upselling, and sponsored listings. Despite these concerns, Bernstein’s position on Booking Holdings remains a Market Perform. InvestingPro data shows the company trading at a high EBITDA multiple of 20.1x, suggesting premium valuation. For deeper insights into Booking’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

Analysts at Bernstein see this conservative guidance as a typical end-of-year strategy to lower expectations, setting the stage for potential outperformance throughout the year. They noted that while Booking’s stock has risen 3% year-to-date, it has not kept pace with the S&P 500’s 5% increase or the double-digit gains seen by Airbnb and Expedia.

The discussion of artificial intelligence (AI) during Booking’s earnings call was also a focal point for Bernstein. Unlike Expedia, Booking’s conversation was dominated by AI topics. The company acknowledged the potential risk of disintermediation from AI, which, unlike Google that directed customers to Booking.com, could navigate on behalf of users itself. This development poses a risk to Booking’s business model, which relies heavily on direct customer interaction for cross-selling, upselling, and sponsored listings. Despite these concerns, Bernstein’s position on Booking Holdings remains a Market Perform.

In other recent news, Booking Holdings has seen several adjustments to its stock price targets and ratings from multiple analyst firms. Susquehanna raised its price target for Booking Holdings to $6,000, maintaining a Positive rating, despite a 2% reduction in 2025 revenue estimates. This adjustment is based on an improved outlook for EBITDA and EPS. Citizens JMP reiterated a price target of $6,100, citing Booking Holdings’ successful social marketing strategies and strong fourth-quarter performance. UBS also increased its price target to $5,960, keeping a Buy rating, noting a 13% year-over-year growth in Room Nights booked, which suggests market share gains.

TD Cowen raised its price target to $6,500, highlighting Booking Holdings’ strong performance and significant shareholder return program, including a $20 billion buyback authorization and a 10% dividend increase. RBC Capital Markets adjusted its price target to $5,900, maintaining an Outperform rating, following a fourth-quarter earnings report that exceeded expectations. The firm’s analyst emphasized the company’s ability to leverage growth tools like flights and loyalty programs. These recent developments reflect a positive outlook from analysts on Booking Holdings’ strategic initiatives and financial performance.

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