Why Booking Holdings (BKNG) is a Top Momentum Stock for the Long-Term

Booking Holdings (BKNG), currently a Zacks Rank #3 (Hold), is highlighted as a potential momentum play, showing a 6.6% increase in share price over the past four weeks and a Momentum Style Score of B. Eleven analysts have revised their fiscal 2025 earnings estimates upwards in the last 60 days, increasing the Zacks Consensus Estimate to $214.06 per share, reflecting an average earnings surprise of 18.6%.

Analysis

Booking Holdings (BKNG), a prominent online travel company, currently carries a Zacks Rank #3 (Hold), yet displays compelling momentum attributes, evidenced by a Momentum Style Score of B and a comprehensive VGM Score of B. The company's stock has demonstrated positive trajectory, rising 6.6% over the preceding four weeks. This performance is supported by significant upward revisions to its earnings outlook; for fiscal 2025, eleven analysts have increased their earnings estimates in the past 60 days, elevating the Zacks Consensus Estimate by $5.16 to $214.06 per share. Furthermore, BKNG has a notable history of exceeding earnings expectations, with an average earnings surprise of 18.6%. According to the Zacks methodology described, a #3 (Hold) ranked stock possessing Style Scores of A or B, such as BKNG, can still offer considerable upside potential, thereby placing it on the watchlist for investors, especially those prioritizing momentum.

Key Decisions for Investors

• Investors may consider BKNG for momentum-oriented portfolios, given its B Momentum Style Score, recent 6.6% share price increase, and positive revisions to fiscal 2025 earnings estimates.
• Despite the neutral Zacks Rank #3 (Hold), the strong B-rated Style Scores for VGM and Momentum, alongside a significant 18.6% average earnings surprise, suggest underlying strength that merits close observation.
• Monitoring future analyst earnings estimate revisions and any adjustments to BKNG's Zacks Rank will be crucial for assessing its ongoing potential as a momentum investment.