Booking vs Sonder Which Is More Favorable?

When it comes to investing in the hospitality industry, two popular options to consider are Booking Holdings and Sonder. Booking Holdings, known for its popular online travel services, offers a diverse portfolio of stocks that cater to various aspects of the travel industry. On the other hand, Sonder, a tech-driven hospitality company, offers unique and innovative lodging options for travelers. While both stocks present unique opportunities, investors will need to carefully consider their investment goals and risk tolerance before choosing between Booking Holdings and Sonder.

Booking or Sonder?

When comparing Booking and Sonder, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Booking and Sonder.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Booking has a dividend yield of 0.67%, while Sonder has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Booking reports a 5-year dividend growth of 0.00% year and a payout ratio of 17.57%. On the other hand, Sonder reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Booking P/E ratio at 34.67 and Sonder's P/E ratio at -0.21. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Booking P/B ratio is -47.80 while Sonder's P/B ratio is -0.10.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Booking has seen a 5-year revenue growth of 0.93%, while Sonder's is -0.81%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Booking's ROE at -136.80% and Sonder's ROE at 52.59%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $5216.09 for Booking and $3.42 for Sonder. Over the past year, Booking's prices ranged from $3180.00 to $5337.24, with a yearly change of 67.84%. Sonder's prices fluctuated between $0.88 and $10.50, with a yearly change of 1093.18%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.