If you want to add consumer services companies to your investment portfolio, consider Booking stocks. The online booking service is popular worldwide and is a promising asset for traders. It can be used for short-term and long-term investments.
Booking Holdings Inc. - is an American company that owns several booking services for lodging, tickets, cars, etc. The online hotel reservation system Booking.com was founded in 1996. In 2005 it was bought by the American company The Priceline Group. The organization got its current name (Booking Holdings) in 2018. Its servers and system infrastructure are located in the UK, Holland, Hong Kong, the U.S., and other countries around the world.
Ordinary shares of Booking are listed on Russian and foreign stock exchanges. This asset is available to investors under the ticker symbol NASDAQ:BKNG. Currently, the company does not pay dividends. Investors can make money from reselling the shares.
Bookings operate in several areas of online booking. The company works with car and lodging rental organizations, ticket booking services, and restaurants. Additional sources of revenue for Booking are advertising and travel insurance.
Booking Holdings Inc. operates several brands:
The company's success is ensured by an effective marketing system. Booking's strategy is based on the management of several services focused on different services and regions. Additional advantages of the company are simple interface, cooperation with leading landlords, restaurants, and travel agents of the world.
Since February 2022, Booking Holdings' stock price has started to drop. The stock price dropped from the $2695 level to almost $1800 within two weeks. Starting March 8, Booking's stock started rising again and traded at $2216 on April 25, 2022.
In early March 2022, the online booking service announced it was suspending its operations in Russia. The company's management said it supported sanctions against Russia. Booking also suspended its services in Belarus.
The company reported revenue of $2.98 billion for Q4 2021. For that period, adjusted earnings per share for Booking were $15.83. In Q4 2021, the EBITDA margin was 31.5%.
Analysts note that tourism is now actively developing, which increases the demand for services of Booking Holdings. Against a background of rising prices on hotel rentals and growth in international travel, the business of online booking services is recovering. The Bloomberg consensus forecasts an EBITDA margin of 34 percent. However, investors should keep in mind that this data is not investment advice. To invest in Booking Stock, one should be guided by technical and fundamental analysis, as well as follow the dynamics of quotes.
At the beginning of March 2020, Booking's stock was worth $1,125. After demand for accommodations rebounded after the quarantine, demand for the company's services began to rise, as did the value of its securities.
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Booking Holdings has had a highly volatile stock price over the past year. The value of the securities in April 2021 hovered around $2455. The stock was trading above $2600 in October 2021 and February 2022. On April 26, 2022, Booking Holdings stock was trading at $2246.
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The consumer services sector also includes Airbnb Inc., Peloton Interactive Inc., and O'Reilly Automotive
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