This Stock Is Going Places

The stock price of The Priceline Group (Nasdaq: PCLN) recently topped $1,900, but don’t let that scare you. The stock has surged some twentyfold over the past decade, but it’s likely to keep growing — and you can always buy just one or two shares.

Priceline has become the leader in the online travel industry through its unique combination of pricing power and global coverage. Offering hotels, rental cars, airline tickets and more, Priceline aims to be a one-stop shop for all of its users’ travel needs.

It has made smart acquisitions, with its 2005 purchase of Booking. com having been a prescient move that dramatically increased the international scope of its hotel network. Competitors have attempted to mimic Priceline’s success, but none has managed to match the company. The online leader has also done a good job of fighting against the rise of new up-and-coming travel options such as Airbnb, listing private home rentals and similar properties alongside traditional hotel options in order to give its users as many choices as possible.

Priceline’s premier brands include Kayak, Agoda, OpenTable and Rentalcars.com. It now generates more than 80 percent of its revenue from outside the U.S., in large part due to the strength of Booking.com. With its demonstrated ability to adapt to changing conditions, Priceline is likely to serve your portfolio well for many years. (The Motley Fool owns shares of and has recommended Priceline.)