Online travel agency Booking Holdings (NASDAQ:BKNG) will be reporting results tomorrow after the bell. Here’s what to expect.
Booking beat analysts’ revenue expectations by 1.5% last quarter, reporting revenues of $5.86 billion, up 7.3% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ EBITDA estimates and a narrow beat of analysts’ booking estimates. It reported 287 million nights booked, up 7.1% 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 3.9% year on year to $7.63 billion, slowing from the 21.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $77.38 per share.
The majority of analysts covering the company have 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 2.5% on average.
Looking at Booking’s peers in the consumer internet segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Netflix delivered year-on-year revenue growth of 15%, meeting analysts’ expectations, and Coursera reported revenues up 6.4%, topping estimates by 1.2%. Netflix traded up 11.1% following the results while Coursera was down 9.7%.
Read our full analysis of Netflix’s results here and Coursera’s results here.
Investors in the consumer internet segment have had steady hands going into earnings, with share prices up 1.9% on average over the last month. Booking is up 3.3% during the same time and is heading into earnings with an average analyst price target of $4,266 (compared to the current share price of $4,350).
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