Booking Stock Hits Key Support – Buying Opportunity?
Booking (BKNG) stock should be on your watchlist. Here is why – it is currently trading in the support zone ($4,529.60 – $5,006.40), levels from which it has bounced meaningfully before. In the last 10 years, Booking stock received buying interest at this level 3 times and subsequently went on to generate 19.9% in average peak returns.
| Peak Return | Days to Peak Return | |
|---|---|---|
| 10/29/2024 | 19.9% | 38 |
| 3/12/2025 | 8.6% | 13 |
| 4/21/2025 | 31.3% | 77 |
Yet, a support zone alone isn’t enough; rebounds are more likely when fundamentals, sentiment, and market conditions line up. How does that look for BKNG?
Rebound likely; strong Q3, bullish analysts, travel demand.
Booking (BKNG) demonstrates rebound potential from its support zone. Q3 2025 results exceeded estimates, with gross bookings up 14% and adjusted EPS jumping 19%. Analysts largely maintain “Buy” ratings, with average price targets implying substantial upside. Industry tailwinds, including resilient global travel demand, accelerating travel tech adoption, and changing consumer behaviors like “bleisure” trips, offer a favorable backdrop. While FX tailwinds aided Q3 and room night growth shows some competitive pressure, strategic cost efficiencies and solid core performance mitigate concerns.
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- Why Is Booking Stock With Its High Cash Flow Yield Not on Your Watchlist?
How Do BKNG Financials Look Right Now?
- Revenue Growth: 13.0% LTM and 17.8% last 3-year average.
- Cash Generation: Nearly 31.9% free cash flow margin and 34.5% operating margin LTM.
- Recent Revenue Shocks: The minimum annual revenue growth in the last 3 years for BKNG was 11.7%.
- Valuation: BKNG stock trades at a PE multiple of 30.6
| BKNG | S&P Median | |
|---|---|---|
| Sector | Consumer Discretionary | – |
| Industry | Hotels, Resorts & Cruise Lines | – |
| PE Ratio | 30.6 | 23.0 |
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| LTM* Revenue Growth | 13.0% | 6.1% |
| 3Y Average Annual Revenue Growth | 17.8% | 5.4% |
| Min Annual Revenue Growth Last 3Y | 11.7% | 0.2% |
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| LTM* Operating Margin | 34.5% | 18.8% |
| 3Y Average Operating Margin | 31.4% | 18.2% |
| LTM* Free Cash Flow Margin | 31.9% | 13.5% |
*LTM: Last Twelve Months | For more details on BKNG fundamentals, read Buy or Sell BKNG Stock.
And What If The Support Breaks?
BKNG is not immune to big sell-offs. It plunged nearly 100% in the Dot-Com crash, lost about 66% in the Global Financial Crisis, and dropped 40% during the inflation shock. Even in smaller shocks like the 2018 correction and Covid plunge, it fell over 25%. Strong fundamentals matter, but sharp declines happen when fear takes over.
But the risk is not limited to major market crashes. Stocks fall even when markets are in good shape – think events like earnings, business updates, outlook changes. Read BKNG Dip Buyer Analyses to see how the stock has recovered from sharp dips in the past.
Still not sure about BKNG stock? Consider the portfolio approach.
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