Bank of America Securities analyst Victor Cheng reiterated a Buy rating on Sabre today and set a price target of $3.30.
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Victor Cheng has given his Buy rating due to a combination of factors that suggest potential growth for Sabre. Despite a slight reduction in revenue expectations for the Air Distribution segment, Cheng anticipates a re-acceleration of bookings growth in the latter half of 2025 and into 2026. This optimism is driven by the scaling of New Distribution Capability (NDC), successful commercial wins, and the launch of Sabre’s low-cost carrier product in early 2026, which positions it competitively in the market.
Additionally, Cheng notes that while there are risks associated with corporate travel disintermediation, Sabre is expected to counter these challenges through market share gains. The strategic partnership with Coforge and the ongoing collaboration with Google are seen as pivotal in enhancing Sabre’s competitive edge in Air IT solutions, further supporting the positive outlook. These factors collectively contribute to the Buy rating, with a price objective adjusted to $3.30, reflecting a balanced view of the risks and opportunities ahead.
According to TipRanks, Cheng is an analyst with an average return of -9.4% and a 41.67% success rate.