Online travel agency Booking Holdings (NASDAQ: BKNG) will be reporting earnings this Tuesday after market close. Here’s what to expect.
Booking beat analysts’ revenue expectations by 3.6% last quarter, reporting revenues of $4.76 billion, up 7.9% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ EBITDA estimates and solid growth in its bookings. It reported 319 million nights booked, up 7.4% year on year.
Is Booking a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Booking’s revenue to grow 11.7% year on year to $6.55 billion, improving from the 7.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $50.23 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Booking has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3.6% on average.
Looking at Booking’s peers in the consumer internet segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Alphabet delivered year-on-year revenue growth of 13.8%, beating analysts’ expectations by 2.6%, and Coursera reported revenues up 9.8%, topping estimates by 3.7%. Alphabet’s stock price was unchanged after the resultswhile Coursera was up 36.2%.
Read our full analysis of Alphabet’s results here and Coursera’s results here.
There has been positive sentiment among investors in the consumer internet segment, with share prices up 5.1% on average over the last month. Booking is down 2.6% during the same time and is heading into earnings with an average analyst price target of $5,835 (compared to the current share price of $5,641).
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