JPMorgan Cuts Booking Holdings Target Price 10.4% to $5,600
JPMorgan trimmed its Booking Holdings target price by 10.4% to $5,600 while maintaining an Overweight rating after strong Q4 results and an encouraging outlook. Booking’s Q4 revenue rose 16% YoY to $6.3 billion and GAAP net income grew 34% YoY to $1.4 billion.
1. Analyst Reduces Target Price
On February 20, JPMorgan reduced its Booking Holdings target from $6,250 to $5,600, a 10.4% cut, while reaffirming an Overweight rating. The firm cited solid Q4 earnings and an encouraging outlook but factored in conservative assumptions on future growth and cost savings.
2. Q4 Financial Performance and Savings
Booking reported Q4 revenue of $6.3 billion, up 16% YoY, driven by 9% growth in room nights to 285 million and 6% higher average daily rates at $151. GAAP net income rose 34% YoY to $1.4 billion and non-GAAP EBITDA climbed 19% to $2.2 billion, with its Transformation Program generating roughly $550 million in annualized savings.