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What's in Store for Booking Holdings (BKNG) in Q2 Earnings?

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Booking Holdings Inc. (BKNG - Free Report) is scheduled to report its second-quarter 2023 results on Aug 3.

For the second quarter, the Zacks Consensus Estimate for revenues is pegged at $5.12 billion, suggesting growth of 19.25% from the year-ago quarter’s reported figure.

The consensus mark for earnings is pegged at $28.67 per share, indicating a rise of 50.3% from the year-ago quarter’s reported number. The consensus mark has increased by 0.9% in the past 30 days.

The company’s earnings beat estimates in all the trailing four quarters, the average being 11.05%.

Booking Holdings Inc. Price and EPS Surprise

 

Booking Holdings Inc. Price and EPS Surprise

Booking Holdings Inc. price-eps-surprise | Booking Holdings Inc. Quote

Key Factors to Note

Booking Holdings’ second-quarter performance is expected to have continued to benefit from a substantial improvement in its booking trends, owing to increasing travel demand.

The Zacks Consensus Estimate for gross bookings is pinned at $38.5 billion, reflecting growth of 11.4% from the figure reported in the prior-year quarter.

Solid momentum in rental cars and increasing airline ticket units and booked room nights are likely to have benefited the company in the quarter under review.

BKNG’s solid momentum across its agency, merchant, advertising and other businesses is likely to have contributed well to the upcoming results.

The Zacks Consensus Estimate for agency revenues is pegged at $2.49 billion, indicating growth of 8.3% from the year-ago reported figure.

The Zacks Consensus Estimate for merchant revenues is pegged at $2.36 billion, indicating growth of 34.8% from the year-ago reported figure.

The Zacks Consensus Estimate for advertising and other revenues is pegged at $270 million, indicating growth of 10.7% from the year-ago reported figure.

BKNG’s continuous efforts to provide benefits to travelers and supply partners are expected to have helped it gain momentum among its target groups, which, in turn, is likely to have bolstered its accommodation business in the second quarter.

Rising investments in the Mobile app to increase customer engagement are likely to have continued contributing significantly to the top line in the to-be-reported quarter.

BKNG’s growing efforts to deliver Generative AI-driven travel booking experience might have been a positive.

However, macroeconomic headwinds and stiff competition in the online travel booking space are expected to have acted as overhangs for Booking Holdings in the second quarter.

What Our Model Says

Our proven model predicts an earnings beat for Booking Holdings this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, but that’s not the case here, as mentioned below.

Booking Holdings has an Earnings ESP of +3.37%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

BKNG has a Zacks Rank #3 at present.

Other Stocks to Consider

Here are some stocks worth considering as our model shows that these also have the right combination of elements to beat on earnings this season.

Itron (ITRI - Free Report) has an Earnings ESP of +7.61% and sports a Zacks Rank #1 at present. You can see the complete list of today's Zacks #1 Rank stocks here.  

Itron is scheduled to release second-quarter 2023 results on Aug 3. The Zacks Consensus Estimate for ITRI’s earnings is pegged at 31 cents per share, suggesting a jump from the prior-year quarter’s reported figure of 7 cents.

CACI International (CACI - Free Report) has an Earnings ESP of +2.36% and a Zacks Rank #2.

CACI is set to report its fourth-quarter fiscal 2023 results on Aug 9. The Zacks Consensus Estimate for CACI’s earnings is pegged at $4.85 per share, suggesting growth of 6.8% from the prior-year quarter’s reported figure.

Docebo (DCBO - Free Report) has an Earnings ESP of +6.67% and has a Zacks Rank #3 at present.

Docebo is set to report its second-quarter fiscal 2023 results on Aug 10. The Zacks Consensus Estimate for DCBO’s earnings is pegged at 8 cents per share. The company reported a loss of 5 cents per share in the year-ago quarter.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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