Airbnb, Booking get 'buy' ratings from Rosenblatt; Expedia rated 'neutral'

Also starts Expedia Group EXPE.O at "neutral"; PT at $360, a 13.5% upside.

Expects EXPE to benefit from domestic travel trends but flags U.S. consumer concentration, scale gap and moderate exposure to AI risk.

As of last close ABNB up 37.8%, EXPE up 14.6%, while BKNG down 6.5% YTD.

Online travel firms have outperformed the broader S&P 500 benchmark over the past six months.

"BKNG remains the best positioned OTA globally," brokerage says citing scale, diversification, strong liquidity and FCF conversion.

Says market discounting BKNG shares for AI disintermediation is "overdone"; PT at $245 marking a 23% upside.

Worries about AI agents taking over booking process have pressures OTA shares.

Rosenblatt initiates coverage on vacation-rental firm Airbnb ABNB.O and online travel agency (OTA) Booking Holdings BKNG.O with "buy" rating.

Brokerage sees ABNB's investment overhang easing as new business initiatives begin producing measurable results; PT at $220, implying a 20% upside to stock's last close.