Stock Markets February 18, 2026

Booking Holdings Tops Profit Targets as International Travel Remains Firm

Stronger-than-expected fourth-quarter results and positive guidance reflect continuing demand from higher-spending international travelers

By Caleb Monroe BKNG
Booking Holdings Tops Profit Targets as International Travel Remains Firm
BKNG

Booking Holdings reported fourth-quarter adjusted earnings above analysts' expectations and raised forward-looking metrics, driven by resilient international travel demand and an uptick in premium spending by wealthier travelers. The company posted stronger gross bookings and revenue for the quarter and outlined growth targets for 2026 and the first quarter of the coming year.

Key Points

  • Booking Holdings reported adjusted Q4 earnings of $48.80 per share, exceeding the $48.47 analyst estimate.
  • Gross bookings rose 16% year-over-year to $43 billion, while Q4 revenue was $6.35 billion, above the $6.13 billion consensus.
  • Company guidance projects mid-teens adjusted earnings growth for 2026 and first-quarter gross bookings growth of 14% to 16% - sectors impacted include travel, consumer discretionary, and online services.

Feb 18 - Booking Holdings reported adjusted earnings for the fourth quarter that exceeded the consensus forecast, driven by sustained international travel demand. The company said quarterly adjusted profit was $48.80 per share, above analysts' average estimate of $48.47 per share, according to LSEG data.

The Norwalk, Connecticut-based online travel agency, which is the parent of Kayak, said gross bookings for the quarter ended December 31 were $43 billion, representing a 16% increase from the same period a year earlier. Total revenue for the quarter was $6.35 billion, topping analysts' expectations of $6.13 billion.

Management signaled continued optimism for demand, citing expectations that international travel will expand further. The company specifically pointed to events such as the FIFA World Cup and a rise in spending among higher-income travelers on premium experiences as tailwinds that should support growth for companies in the travel distribution space.

For the full year 2026, Booking Holdings said it expects adjusted earnings growth to be in the mid-teens range. Looking closer to the near term, the company projected first-quarter gross bookings growth in a range of 14% to 16%.


Analysis

The quarterly results show strength across both bookings and revenue measures, reflecting sustained consumer demand for international travel. Booking's guidance for 2026 and its first-quarter bookings outlook indicate management anticipates further momentum into the year, supported by large event travel and increased premium spending by higher-income customers.

Market response

Shares of the company rose about 2% in extended trading following the release, reflecting investor reception to the beat on profit and the upbeat guidance.


Summary of reported metrics

  • Adjusted profit per share (Q4): $48.80 (vs. estimate $48.47)
  • Gross bookings (Q4): $43 billion - up 16% year-over-year
  • Total revenue (Q4): $6.35 billion (vs. estimate $6.13 billion)
  • 2026 adjusted earnings growth guidance: mid-teens range
  • Q1 gross bookings growth guidance: 14% to 16%

This report provides a snapshot of Booking Holdings' most recent quarter and its current outlook; the company attributes continued demand to international travel trends and higher spending among wealthier travelers for premium experiences.

Risks

  • Outlook depends on continued international travel demand tied to events such as the FIFA World Cup - if demand softens, travel and related consumer discretionary sectors could be affected.
  • Company expectations rely in part on increased spending by higher-income travelers on premium experiences - if that spending does not materialize, Booking's revenue and margin trends could be pressured.
  • Guidance for 2026 and Q1 gross bookings is forward-looking and subject to variability, creating uncertainty for travel distribution and online booking platforms.

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