BKNG Relative Valuation
BKNG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BKNG is overvalued; if below, it's undervalued.
Historical Valuation
Booking Holdings Inc (BKNG) is now in the Fair zone, suggesting that its current forward PE ratio of 20.68 is considered Fairly compared with the five-year average of 24.07. The fair price of Booking Holdings Inc (BKNG) is between 4482.43 to 8435.37 according to relative valuation methord.
Relative Value
Fair Zone
4482.43-8435.37
Current Price:5348.39
Fair
20.68
PE
1Y
3Y
5Y
15.99
EV/EBITDA
Booking Holdings Inc. (BKNG) has a current EV/EBITDA of 15.99. The 5-year average EV/EBITDA is 17.49. The thresholds are as follows: Strongly Undervalued below 6.60, Undervalued between 6.60 and 12.05, Fairly Valued between 22.94 and 12.05, Overvalued between 22.94 and 28.39, and Strongly Overvalued above 28.39. The current Forward EV/EBITDA of 15.99 falls within the Historic Trend Line -Fairly Valued range.
17.17
EV/EBIT
Booking Holdings Inc. (BKNG) has a current EV/EBIT of 17.17. The 5-year average EV/EBIT is 19.43. The thresholds are as follows: Strongly Undervalued below 5.20, Undervalued between 5.20 and 12.31, Fairly Valued between 26.54 and 12.31, Overvalued between 26.54 and 33.65, and Strongly Overvalued above 33.65. The current Forward EV/EBIT of 17.17 falls within the Historic Trend Line -Fairly Valued range.
6.01
PS
Booking Holdings Inc. (BKNG) has a current PS of 6.01. The 5-year average PS is 5.77. The thresholds are as follows: Strongly Undervalued below 3.15, Undervalued between 3.15 and 4.46, Fairly Valued between 7.07 and 4.46, Overvalued between 7.07 and 8.38, and Strongly Overvalued above 8.38. The current Forward PS of 6.01 falls within the Historic Trend Line -Fairly Valued range.
16.92
P/OCF
Booking Holdings Inc. (BKNG) has a current P/OCF of 16.92. The 5-year average P/OCF is 20.59. The thresholds are as follows: Strongly Undervalued below 8.88, Undervalued between 8.88 and 14.73, Fairly Valued between 26.45 and 14.73, Overvalued between 26.45 and 32.31, and Strongly Overvalued above 32.31. The current Forward P/OCF of 16.92 falls within the Historic Trend Line -Fairly Valued range.
17.28
P/FCF
Booking Holdings Inc. (BKNG) has a current P/FCF of 17.28. The 5-year average P/FCF is 23.33. The thresholds are as follows: Strongly Undervalued below 2.56, Undervalued between 2.56 and 12.95, Fairly Valued between 33.71 and 12.95, Overvalued between 33.71 and 44.10, and Strongly Overvalued above 44.10. The current Forward P/FCF of 17.28 falls within the Historic Trend Line -Fairly Valued range.
Booking Holdings Inc (BKNG) has a current Price-to-Book (P/B) ratio of -36.31. Compared to its 3-year average P/B ratio of -42.44 , the current P/B ratio is approximately -14.45% higher. Relative to its 5-year average P/B ratio of -17.66, the current P/B ratio is about 105.64% higher. Booking Holdings Inc (BKNG) has a Forward Free Cash Flow (FCF) yield of approximately 4.85%. Compared to its 3-year average FCF yield of 5.80%, the current FCF yield is approximately -16.47% lower. Relative to its 5-year average FCF yield of 4.70% , the current FCF yield is about 3.15% lower.
-36.31
P/B
Median3y
-42.44
Median5y
-17.66
4.85
FCF Yield
Median3y
5.80
Median5y
4.70
Competitors Valuation Multiple
The average P/S ratio for BKNG's competitors is 4.70, providing a benchmark for relative valuation. Booking Holdings Inc Corp (BKNG) exhibits a P/S ratio of 6.01, which is 28.02% above the industry average. Given its robust revenue growth of 12.68%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of BKNG increased by 12.89% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 7.99B to 9.01B.
The secondary factor is the P/E Change, contributed 3.32%to the performance.
Overall, the performance of BKNG in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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Frequently Asked Questions
Is Booking Holdings Inc (BKNG) currently overvalued or undervalued?
Booking Holdings Inc (BKNG) is now in the Fair zone, suggesting that its current forward PE ratio of 20.68 is considered Fairly compared with the five-year average of 24.07. The fair price of Booking Holdings Inc (BKNG) is between 4482.43 to 8435.37 according to relative valuation methord.
What is Booking Holdings Inc (BKNG) fair value?
BKNG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Booking Holdings Inc (BKNG) is between 4482.43 to 8435.37 according to relative valuation methord.
How does BKNG's valuation metrics compare to the industry average?
The average P/S ratio for BKNG's competitors is 4.70, providing a benchmark for relative valuation. Booking Holdings Inc Corp (BKNG) exhibits a P/S ratio of 6.01, which is 28.02% above the industry average. Given its robust revenue growth of 12.68%, this premium appears unsustainable.
What is the current P/B ratio for Booking Holdings Inc (BKNG) as of Jan 07 2026?
As of Jan 07 2026, Booking Holdings Inc (BKNG) has a P/B ratio of -36.31. This indicates that the market values BKNG at -36.31 times its book value.
What is the current FCF Yield for Booking Holdings Inc (BKNG) as of Jan 07 2026?
As of Jan 07 2026, Booking Holdings Inc (BKNG) has a FCF Yield of 4.85%. This means that for every dollar of Booking Holdings Inc’s market capitalization, the company generates 4.85 cents in free cash flow.
What is the current Forward P/E ratio for Booking Holdings Inc (BKNG) as of Jan 07 2026?
As of Jan 07 2026, Booking Holdings Inc (BKNG) has a Forward P/E ratio of 20.68. This means the market is willing to pay $20.68 for every dollar of Booking Holdings Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Booking Holdings Inc (BKNG) as of Jan 07 2026?
As of Jan 07 2026, Booking Holdings Inc (BKNG) has a Forward P/S ratio of 6.01. This means the market is valuing BKNG at $6.01 for every dollar of expected revenue over the next 12 months.