Booking (NASDAQ:BKNG) and Wynn Resorts (NASDAQ:WYNN) Head-To-Head Contrast

Wynn Resorts (NASDAQ:WYNN) and Booking (NASDAQ:BKNG) are both consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, earnings, dividends, profitability, valuation and risk.

Risk and Volatility

Wynn Resorts has a beta of 0.96, indicating that its stock price is 4% less volatile than the S&P 500. Comparatively, Booking has a beta of 1.13, indicating that its stock price is 13% more volatile than the S&P 500.

Earnings and Valuation

This table compares Wynn Resorts and Booking”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wynn Resorts	$7.14 billion	1.09	$327.33 million	$4.03	18.76
Booking	$26.92 billion	4.56	$5.40 billion	$9.04	18.08

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

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Wynn Resorts and Booking, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wynn Resorts	0	2	17	1	2.95
Booking	1	7	26	3	2.84

Wynn Resorts currently has a consensus target price of $130.12, indicating a potential upside of 72.11%. Booking has a consensus target price of $233.95, indicating a potential upside of 43.14%. Given Wynn Resorts’ stronger consensus rating and higher possible upside, equities analysts clearly believe Wynn Resorts is more favorable than Booking.

Dividends

Wynn Resorts pays an annual dividend of $1.00 per share and has a dividend yield of 1.3%. Booking pays an annual dividend of $1.68 per share and has a dividend yield of 1.0%. Wynn Resorts pays out 24.8% of its earnings in the form of a dividend. Booking pays out 18.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Wynn Resorts has increased its dividend for 1 consecutive years and Booking has increased its dividend for 1 consecutive years.

Insider and Institutional Ownership

88.6% of Wynn Resorts shares are held by institutional investors. Comparatively, 92.4% of Booking shares are held by institutional investors. 0.9% of Wynn Resorts shares are held by insiders. Comparatively, 0.2% of Booking shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Wynn Resorts and Booking’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Wynn Resorts	6.05%	-46.52%	3.60%
Booking	25.53%	-102.96%	26.60%

Summary

Booking beats Wynn Resorts on 11 of the 17 factors compared between the two stocks.

About Wynn Resorts

Wynn Resorts, Limited designs, develops, and operates integrated resorts. The company operates through four segments: Wynn Palace, Wynn Macau, Las Vegas Operations, and Encore Boston Harbor. The Wynn Palace segment operates private gaming salons and sky casinos; a luxury hotel tower with suites, and villas, including a health club, spa, salon, and pool; food and beverage outlets; retail space; meeting and convention space; and performance lake and floral art displays. The Wynn Macau segment operates casino space with private gaming salons, sky casinos, and a poker room; a luxury hotel tower, that include health clubs, spas, a salon, and a pool; food and beverage outlets; retail space; meeting and convention space; and Chinese zodiac-inspired ceiling attractions. The Las Vegas Operations segment operates casino space with private gaming salons, a sky casino, a poker room, and a race and sports book; a luxury hotel tower with suites, and villas, including swimming pools, private cabanas, full-service spas and salons, and a wedding chapel; food and beverage outlets; meeting and convention space; retail space; and theaters, nightclubs, a beach club. The Encore Boston Harbor segment operates casino space with gaming areas, and a poker room; a luxury hotel tower including a spa and salon; food and beverage outlets and a nightclub; retail space; meeting and convention space; and a waterfront park, floral displays, and water shuttle service. Wynn Resorts, Limited was incorporated in 2002 and is based in Las Vegas, Nevada.

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).