WallStSmart

Booking Holdings Inc (BKNG)vsRoyal Caribbean Cruises Ltd (RCL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Booking Holdings Inc generates 51% more annual revenue ($27.69B vs $18.39B). RCL leads profitability with a 24.4% profit margin vs 22.2%. BKNG appears more attractively valued with a PEG of 0.71. BKNG earns a higher WallStSmart Score of 76/100 (B+).

BKNG

Strong Buy

76

out of 100

Grade: B+

Growth: 8.7Profit: 9.5Value: 6.7Quality: 7.5
Piotroski: 4/9Altman Z: 4.05

RCL

Strong Buy

74

out of 100

Grade: B

Growth: 8.0Profit: 9.0Value: 5.3Quality: 3.8
Piotroski: 5/9Altman Z: 0.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BKNGUndervalued (+12.1%)

Margin of Safety

+12.1%

Fair Value

$188.26

Current Price

$165.58

$22.68 discount

UndervaluedFair: $188.26Overvalued
RCLSignificantly Overvalued (-56.6%)

Margin of Safety

-56.6%

Fair Value

$213.17

Current Price

$259.48

$46.31 premium

UndervaluedFair: $213.17Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BKNG6 strengths · Avg: 9.7/10
Return on EquityProfitability
225.7%10/10

Every $100 of equity generates 226 in profit

EPS GrowthGrowth
240.0%10/10

Earnings expanding 240.0% YoY

Debt/EquityHealth
-3.4610/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.0510/10

Safe zone — low bankruptcy risk

Market CapQuality
$128.30B9/10

Large-cap with strong market position

Profit MarginProfitability
22.2%9/10

Keeps 22 of every $100 in revenue as profit

RCL6 strengths · Avg: 8.7/10
Return on EquityProfitability
49.6%10/10

Every $100 of equity generates 50 in profit

Market CapQuality
$70.20B9/10

Large-cap with strong market position

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Operating MarginProfitability
26.2%8/10

Strong operational efficiency at 26.2%

EPS GrowthGrowth
28.9%8/10

Earnings expanding 28.9% YoY

Areas to Watch

BKNG0 concerns · Avg: 0/10

No major concerns identified

RCL1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.962/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : BKNG

The strongest argument for BKNG centers on Return on Equity, EPS Growth, Debt/Equity. Profitability is solid with margins at 22.2% and operating margin at 25.0%. Revenue growth of 16.2% demonstrates continued momentum.

Bull Case : RCL

The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.2%. Revenue growth of 11.3% demonstrates continued momentum.

Bear Case : BKNG

No major red flags identified for BKNG, but monitor valuation.

Bear Case : RCL

The primary concerns for RCL are Altman Z-Score.

Key Dynamics to Monitor

BKNG profiles as a growth stock while RCL is a mature play — different risk/reward profiles.

RCL carries more volatility with a beta of 1.78 — expect wider price swings.

BKNG is growing revenue faster at 16.2% — sustainability is the question.

BKNG generates stronger free cash flow (3.1B), providing more financial flexibility.

Bottom Line

BKNG scores higher overall (76/100 vs 74/100), backed by strong 22.2% margins and 16.2% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Booking Holdings Inc

CONSUMER CYCLICAL · TRAVEL SERVICES · USA

Booking Holdings Inc. is an American travel technology company organized in Delaware and based in Norwalk, Connecticut, that owns and operates several travel fare aggregators and travel fare metasearch engines including namesake and flagship Booking.com, Priceline.com, Agoda.com, Kayak.com, Cheapflights, Rentalcars.com, Momondo, and OpenTable.

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Royal Caribbean Cruises Ltd

CONSUMER CYCLICAL · TRAVEL SERVICES · USA

Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.

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