Comparing Booking (NASDAQ:BKNG) & Bed Bath & Beyond (NYSE:BBBY)

Booking (NASDAQ:BKNG) and Bed Bath & Beyond (NYSE:BBBY) are both retail/wholesale companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Earnings and Valuation

This table compares Booking and Bed Bath & Beyond”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Booking	$23.74 billion	7.61	$5.88 billion	$143.79	38.78
Bed Bath & Beyond	$1.39 billion	0.38	-$258.80 million	($4.07)	-2.24

Booking has higher revenue and earnings than Bed Bath & Beyond. Bed Bath & Beyond is trading at a lower price-to-earnings ratio than Booking, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Booking and Bed Bath & Beyond’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Booking	19.23%	-134.19%	24.16%
Bed Bath & Beyond	-17.86%	-78.27%	-31.94%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Booking and Bed Bath & Beyond, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Booking	0	10	19	3	2.78
Bed Bath & Beyond	2	4	2	0	2.00

Booking currently has a consensus price target of $5,808.81, indicating a potential upside of 4.18%. Bed Bath & Beyond has a consensus price target of $8.86, indicating a potential downside of 2.99%. Given Booking’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Booking is more favorable than Bed Bath & Beyond.

Institutional and Insider Ownership

92.4% of Booking shares are owned by institutional investors. Comparatively, 76.3% of Bed Bath & Beyond shares are owned by institutional investors. 0.2% of Booking shares are owned by company insiders. Comparatively, 1.7% of Bed Bath & Beyond shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Booking has a beta of 1.39, suggesting that its share price is 39% more volatile than the S&P 500. Comparatively, Bed Bath & Beyond has a beta of 2.77, suggesting that its share price is 177% more volatile than the S&P 500.

Summary

Booking beats Bed Bath & Beyond on 12 of the 15 factors compared between the two stocks.

About Booking

Booking Holdings Inc, formerly The Priceline Group Inc., is a provider of travel and restaurant online reservation and related services. The Company, through its online travel companies (OTCs), connects consumers wishing to make travel reservations with providers of travel services across the world. It offers consumers an array of accommodation reservations (including hotels, bed and breakfasts, hostels, apartments, vacation rentals and other properties) through its Booking.com, priceline.com and agoda.com brands. Its other brands include KAYAK, Rentalcars.com and OpenTable, Inc. (OpenTable). As of December 31, 2016, Booking.com offered accommodation reservation services for over 1,115,000 properties in over 220 countries and territories on its various Websites and in over 40 languages, which included over 568,000 vacation rental properties (updated property counts were available on the Booking.com Website).

About Bed Bath & Beyond

Beyond, Inc. operates as an online retailer of furniture and home furnishings products in the United States and Canada. The company offers furniture, bedding and bath, patio and outdoor gear, area rugs, tabletop and cookware, décor, storage and organization, small appliances, home improvement, and other products under the Bed Bath & Beyond brand. The company provides its products and services through its e-commerce platform accessible through its mobile application, which includes bedbathandbeyond.com, bedbathandbeyond.ca, and overstockgovernment.com. It also offers businesses advertising products or services on its website; Marketplace, a service that allows its partners to sell their products through third party sites; product sales to international customers using third party logistics providers; and Supplier Oasis, a singular integration point that enables partners to manage their products, inventory, and sales channels, as well as access multi-channel fulfillment services through its distribution network. The company was formerly known as Overstock.com, Inc. and changed its name to Beyond, Inc. in November 2023. Beyond, Inc. was founded in 1997 and is headquartered in Midvale, Utah.