Stock fact sheet · data as of
Booking Holdings Inc. (BKNG): fair value, margin of safety and Wheel Score
Consumer Cyclical · Travel Services · United States · High Growth
Is BKNG undervalued?
BKNG has a margin of safety of 42%: the stock closed at 165.80 on 16 Oct 2026 against a GLS average fair value of 284.93. 5 of the 8 valuation models that produced a number sit above the price. Our screens treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.
The 8 models disagree widely: DDM gives 24.19 while GLS Growth gives 574.66. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files BKNG under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for BKNG
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 224.79 | +36% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | 393.32 | +137% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 161.23 | -3% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 574.66 | +247% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 305.13 | +84% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 491.83 | +197% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 24.19 | -85% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 104.30 | -37% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -16.74 | -110% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 228.95 | +38% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - BKNG passes 6 of the nine Piotroski tests, which passes the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 6.6 out of 10: a ten-year record that is consistent in some of the metrics the score tracks (revenue, earnings, margins, cash flow, returns on capital) and patchy in others.
Returns on capital are high - ROIC 39.4%, ROE -96.9%, ROA 18.5% - with debt at -3.46 times equity and a free-cash-flow yield of 7.7%.
The dividend yield is 0.99% with a payout ratio of 18% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Merchant Revenue 70%, Agency Revenue 26%, Advertising and other revenues 4% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 3/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 39.4% |
|---|---|---|---|
| GLS Moat | 6.6 / 10 | ROE | -96.9% |
| Debt / equity | -3.46 | ROA | 18.5% |
| Free-cash-flow yield | 7.7% | Payout ratio | 18% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 3 / 10 |
Wheel Score 88: Prime
BKNG scores 88 out of 100 on the Wheel Score, in the Prime band (80 and above), which fewer than one stock in twenty reaches on any night. The score blends five things a wheel trader checks before selling a cash-secured put: the margin of safety (Value, 25/25), Piotroski health (13/20), the GLS moat (10/15), the option premium on offer (20/20) and how easily the stock trades (20/20).
Implied volatility is 44% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. The option chain is deep: 173,525 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 7.8M shares a day on a market cap of $124.6B, with a beta of 1.13; the Stability part of the Wheel Score gives that 20 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 42% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 10 / 15 | moat 6.6/10 | |
| Premium | 20 / 20 | implied volatility 44% | |
| Stability | 20 / 20 | 7.8M shares/day, $124.6B cap, beta 1.13 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Booking Holdings Inc. reports earnings on 27 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Travel Services
The 12 companies below are the closest to Booking Holdings Inc. by market cap within the Travel Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| ABNB Airbnb, Inc. | 174.28 | 132.55 | -31% | 65Good | $104.4B |
| RCL Royal Caribbean Cruises Ltd. | 274.33 | 343.28 | +20% | 79Good | $73.6B |
| VIK Viking Holdings Ltd | 82.60 | 91.28 | +10% | 77Good | $36.9B |
| CCL Carnival Corporation & plc | 26.46 | 57.33 | +54% | 81Prime | $35.6B |
| EXPE Expedia Group, Inc. | 291.87 | 528.89 | +45% | 92Prime | $33.4B |
| TCOM Trip.com Group Limited | 38.88 | 286.58 | +86% | 88Prime | $25.3B |
| NCLH Norwegian Cruise Line Holdings Ltd. | 15.39 | 35.85 | +57% | 80Prime | $7.1B |
| MMYT MakeMyTrip Limited | 46.78 | 24.42 | -92% | 57Fair | $4.4B |
| TNL Travel + Leisure Co. | 62.63 | 100.40 | +38% | 80Prime | $3.8B |
| LIND Lindblad Expeditions Holdings, Inc. | 35.47 | 37.13 | +4% | 45Weak | $2.3B |
| PRSU Pursuit Attractions and Hospitality, Inc. | 53.34 | 34.57 | -54% | 51Fair | $1.5B |
| TRIP Tripadvisor, Inc. | 8.93 | 17.55 | +49% | 83Prime | $1.0B |
⚖ Compare BKNG with 7 of them All Consumer Cyclical stocks →
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Start free See the Sunday ScanQuestions about BKNG
Is BKNG undervalued right now?
By the GLS models, yes: at 165.80 the stock is 42% below the average fair value of 284.93 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of BKNG and what does it mean?
BKNG scores 88 out of 100 (Prime). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for BKNG?
284.93 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Booking Holdings Inc. report earnings next?
The next earnings report is due on 27 Oct 2026 (after the close), 11 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does BKNG have listed options, and how liquid are they?
Yes. The nightly snapshot found 1,000 listed contracts with 173,525 open interest across all expiries and implied volatility of 44% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.