Wedbush Securities on Tuesday initiated coverage on multiple stocks in the Online Travel and Mobility sector, signaling potential upside for all of them, with Booking Holdings Inc (BKNG  ) being assigned to the Wedbush Best Ideas List.

The Wedbush Analyst: Scott Devitt initiated coverage on the following stocks, with respective price targets.

  • Booking Holdings: Outperform rating, $3,060 price target.
  • Uber Technologies Inc (UBER  ): Outperform rating, $46 price target
  • Airbnb Inc (ABNB  ): Neutral rating, $130 price target
  • Clear Secure Inc (YOU  ): Neutral rating, $27 price target
  • DoorDash Inc (DASH  ): Neutral rating, $75 price target
  • Expedia Group Inc (EXPE  ): Neutral rating, $116 price target
  • LYFT Inc (LYFT  ): Neutral rating, $10 price target
His ratings came at a time when post-COVID-19 pandemic recovery, high demand and spending trends are driving the industry, the analyst said in a Tuesday note to investors.

On Booking, Devitt said despite the turbulence of the industry, the company maintains a robust position as the leading online travel agency worldwide, anticipating more than 1 billion room nights through its platform in 2023.

Booking's strong points include a leading competitive position, strong margins, substantial free cash flow generation, diversified geographic mix and disciplined capital allocation with $22 billion remaining for repurchases.

For Uber, Wedbush said the company was primed for sustainable long-term growth with catalysts including deeper international penetration, vertical expansion into grocery and retail, and cross-selling opportunities, reinforced by Uber One, the company's membership program.

Airbnb, while having strong long-term growth potential, was seen as a more cautious bet given its unique exposure to longer stays, alternative accommodation, and lower-density non-urban stays during the pandemic, which may decrease in a return to normalcy.

On CLEAR, DoorDash, Expedia and Lyft, Devitt said while the companies have potential, future normalization risks and specific industry dynamics demand a more careful approach.