Is Booking Holdings Stock Underperforming the Dow?

Norwalk, Connecticut-based Booking Holdings Inc. (BKNG) is the world's leading online travel services provider, operating a portfolio of travel brands across more than 220 countries and territories, with a market capitalization of about $154.5 billion. The company simplifies global travel through technology, driving innovation, collaboration, and customer-focused solutions while supporting millions of travel experiences worldwide.

Companies worth $10 billion to $200 billion are generally described as “large-cap stocks,” and BKNG definitely fits that description, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance within the Travel Services industry. Booking Holdings stands out through its dominant global online travel position, trusted brands like Booking.com, Agoda, and Kayak, and strong profitability and growth. Its expanding merchant services, extensive travel network, and investment in AI-powered technology help strengthen customer loyalty, improve the travel experience, and support long-term growth.

Despite its notable strengths, BKNG has slipped 12% from its 52-week high of $226.10, reached on September 5, 2025. Over the past three months, BKNG stock has climbed 18.9%, outperforming the Dow Jones Industrial Average’s ($DOWI) 4.2% uptick during the same time frame.

Shares of BKNG have plunged 7.1% year-to-date and 11.9% over the past 52 weeks, considerably underperforming the Dow’s 10.7% year-to-date gain and 16.5% return over the past year.

BKNG has traded above its 50-day moving average since the end of June and over its 200-day moving average since late July, indicating an uptrend.

BKNG has lagged the broader market partly due to geopolitical pressures that have weakened international travel demand. The Middle East conflict has reduced long-haul travel, while higher airfares and lower flight capacity have weighed on bookings, raising concerns about near-term growth. Slower growth in average revenue per booking has also raised concerns about the company’s ability to increase customer spending and monetize bookings.

In the competitive Travel Services industry, top rival Airbnb, Inc. (ABNB) has significantly outperformed BKNG, gaining 35% year-to-date and 40.4% over the past 52 weeks.

Wall Street analysts are moderately bullish on BKNG’s prospects. The stock has a consensus “Strong Buy” rating from 37 analysts covering it, and the mean price target of $236.41 suggests potential upside of 18.7% from current price levels.