Quick Pitch #3: Booking ($BKNG) is a High-Quality Compounder Trading at a Discount
Booking Holdings ($BKNG) Investment Thesis: scalable, profitable, and built for growth
Hi, Investor 👋
I’m Jimmy, and welcome to another free edition 🔓 of our newsletter. Today, we’re breaking down a global leader in online travel - and a company that continues to compound quietly and powerfully: Booking Holdings (BKNG).
Enjoy the read! And if you find it valuable, don’t forget to share it with friends and fellow investors.
In case you missed it, here are some recent insights:
A Revolution is Underway in US Energy. Here’s What You Need to Know
I'm Doubling Down on MELI. Here's Why: MercadoLibre, Inc. ($MELI) Deep Dive
Subscribe now and never miss a single report:
In this Quick Pitch, our goal is to walk you through Booking’s ($BKNG) business model in just 5 minutes. Let’s see if we can pull it off...
By the way, our quick pitch is divided into 6 sections:
Industry Overview
Booking: The Operating System for Travel
Competitive Advantages: Why Booking Wins
Financials
Risks & Challenges
Valuation & Investment Thesis
1. Industry Overview:
The travel industry is experiencing a robust recovery post-pandemic, with global tourism back near pre-2020 levels - and leisure travel leading the way.
Even as macro concerns like inflation persist, consumer spending on travel remains resilient.
More importantly, how we book travel has permanently changed.
Online travel agencies (OTAs) now dominate, with mobile-first bookings, dynamic pricing, and embedded fintech solutions becoming the norm.
The global OTA market is expected to reach $1.5 trillion by 2030, growing at a CAGR of ~10%.
Key trends driving growth:
Increasing global internet/mobile penetration
Strong rebound in international and leisure travel
Rising adoption of bundled services (travel + insurance + experiences)
Structural shift from offline to online booking
In this environment, Booking is well-positioned to grow even further...
Found this content valuable? Share it with your network! Help others discover these insights by sharing the newsletter. Your support makes all the difference!
2. Booking: The Operating System for Travel
Booking Holdings (NASDAQ: $BKNG) owns some of the most powerful brands in travel:
Keep reading with a 7-day free trial
Subscribe to Jimmy's Journal to keep reading this post and get 7 days of free access to the full post archives.