Mizuho Starts Booking Holdings (BKNG) at Neutral

Mizuho analyst Lloyd Walmsley initiates coverage on Booking Holdings (NASDAQ: BKNG) with a Neutral rating and a price target of $5,975.00.

The analyst comments "We initiate coverage of BKNG with a Neutral rating and a $5,975 price target (+8%). We are impressed with the history of execution at Booking, which has driven a 14% gross bookings (GB) CAGR from '19-'24. We believe the long-term GB and Revenue guidance of 8% Y/Y growth is attainable, but getting more challenging as Alternative Accommodations (AA) growth slows. We see the risk/reward as balanced, with the valuation at 22x consensus GAAP P/E on '26 (versus a 3-year average of 20x), despite slowing growth. We could be more constructive if the company is able to more meaningfully unlock lower cost acquisition channels or accelerate growth back into double-digit territory. Conversely, any slowdown in growth or increased competition from Airbnb could pressure the multiple, making us cautious on chasing here. The Airbnb risk, today, seems more on the multiple than fundamentals, but a battle is brewing."

For an analyst ratings summary and ratings history on Booking Holdings click here. For more ratings news on Booking Holdings click here.

Shares of Booking Holdings closed at $5548.00 yesterday.

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