New York, May 11, 2026, 17:02 EDT
Booking Holdings tumbled 4.9% to $157.80 on Monday, deepening its two-day rout as investors continued to dump online travel names tied to Middle East turmoil. That selling hit even as the broader U.S. market eked out gains—both the S&P 500 and Dow added 0.19%.
The selloff stands out: just weeks ago, Booking was breezing past first-quarter estimates. Now, it’s scrambling to uphold guidance for 2026. The company attributed roughly a 2 percentage point drag on first-quarter room-night growth to the conflict in the Middle East. Room nights—an industry metric tracking total booked nights—remained a central figure for online travel players.
Timing is tricky here. Booking’s newest forecast bakes in both the direct and indirect fallout from the conflict carrying on until June closes out. After that, management expects bookings to rebound in the back half, right as the summer travel rush starts to drive results for airlines, hotels, and the online players.
Pressure extended elsewhere: Expedia shed 3.7% on Monday, Airbnb lost 3.1%, while Trip.com’s U.S.-listed shares edged down 0.9%, market data showed.
Late last week, the sector took a knock after Expedia revealed that the Middle East conflict and a Mexico travel advisory together trimmed about 200 basis points from its quarterly bookings and room-night growth. (A basis point equals one-hundredth of a percent.) That hit was bigger than anticipated, Baird’s Michael Bellisario pointed out, adding that Booking faced similar headwinds—even with a bigger regional footprint. BTIG’s Jake Fuller called it “temporary disruptions.” Reuters
Booking turned in sturdy results. Gross bookings climbed 15%, reaching $53.8 billion for the first quarter—this figure accounts for travel reservations, taxes and fees included, minus cancellations. Revenue jumped 16% to $5.5 billion. Adjusted EBITDA, which tracks operating profit, was up 19%. CEO Glenn Fogel described it as a “solid start” given the headwind.
The outlook told the story behind the stock’s move. Booking projected second-quarter room-nights up just 2% to 4%, with revenue growth expected between 4% and 6%. For the full year, revenue growth guidance dropped to high single digits—previously, the company aimed for low double digits.
Finance chief Ewout Steenbergen told analysts the effects rippled out past the region, notably hitting transit routes linking Europe and Asia. He flagged that if the disruption drags on, jet fuel prices could climb, airlines might cut capacity, and traveler sentiment could take a hit.
An offset lingered in the U.S., with Booking’s room-night numbers in the first quarter climbing at a low-teens pace, according to Skift. “We are taking share,” Fogel told analysts. Skift
Another shot for investors to question the company is coming up. Booking’s Fogel is scheduled to speak at the J.P. Morgan Global Technology, Media and Communications Conference in Boston on May 20. The event will be webcast live, with a replay available afterward.
But there’s a risk June ends up being an overly convenient turning point. Should the disruption drag on, or if airline reductions and rising costs start pushing prices higher, Booking’s bet on a rebound in the second half could be tough to justify.
At issue: is Monday’s decline just a reaction to the forecast cut, or does it signal something deeper for cross-border travel demand? Booking—owner of Booking.com, Priceline, Agoda, Kayak, and OpenTable—claims to run travel and related services across 220-plus countries and territories.
