Booking Holdings (BKNG) Stock Falls to Fresh Low as Geopolitical Risks Mount

TLDR

• BKNG hit a new 52-week low of $167.77, down 21.5% year-to-date
• Truist cut its price target from $5,810 to $5,780 but kept a Buy rating
• Iran conflict risks flagged as a bigger headwind for BKNG than rival Expedia
• Mizuho upgraded Booking.com to its top pick, replacing Airbnb
• The U.S. House Oversight Committee is scrutinizing Booking.com over surveillance pricing

Booking Holdings has had a rough ride lately. The stock touched $167.77 on April 6, marking a fresh 52-week low and continuing a slide that has now erased more than 21% of its value this year.

Booking Holdings Inc., BKNG

The drop comes despite solid underlying fundamentals. The company posted $26.92 billion in revenue over the last twelve months and carries an 87% gross profit margin — a number most companies can only dream about.

Truist Securities trimmed its price target on BKNG to $5,780 from $5,810 on Sunday, citing geopolitical risks tied to the Iran conflict. The firm kept its Buy rating, though, pointing to Booking Holdings’ globally diversified business as a long-term strength.

Truist flagged that the Iran conflict poses slightly more risk for Booking Holdings than for Expedia, given BKNG’s heavier exposure to Asia and European energy markets.

Expedia, by contrast, gets around two-thirds of its business from the U.S. market, which Truist sees as better positioned for near-term growth thanks to a strong summer events calendar.

That said, Truist still sees more long-term upside in BKNG over Expedia, even accounting for geopolitical and AI-related concerns that continue to weigh on investor sentiment.

Mizuho Backs Booking.com Over Airbnb

On the analyst front, Mizuho upgraded Booking.com to its top pick, bumping Airbnb from that spot. The move came after OpenAI shifted away from native ChatGPT checkout toward app-based purchases — with Booking.com as one of its key partners.

That partnership could become a meaningful traffic driver, though it remains early days.

The company also completed a 25-for-1 forward stock split recently, increasing its authorized common stock from 1 billion to 25 billion. The amendment was filed and became effective with the Delaware Secretary of State.

Booking Holdings also added Kurt Sievers, the former CEO of NXP Semiconductors, to its Board of Directors. Sievers brings a track record in mergers and acquisitions from his time leading NXP.

Congressional Scrutiny on Pricing Practices

On the regulatory side, the U.S. House Oversight Committee sent a request to Booking.com — along with several other travel and tech companies — asking for information on whether they use surveillance pricing algorithms.

The committee is looking into personalized pricing practices that could affect what consumers pay. Booking.com has not publicly responded to the inquiry.

InvestingPro data suggests BKNG looks undervalued at current levels, with the stock sitting just above its annual low of $150.62.

The post Booking Holdings (BKNG) Stock Falls to Fresh Low as Geopolitical Risks Mount appeared first on CoinCentral.