Sabre (NASDAQ:SABR – Get Free Report) issued its earnings results on Thursday. The information technology services provider reported $0.11 earnings per share for the quarter, beating analysts’ consensus estimates of $0.02 by $0.09, FiscalAI reports. The firm had revenue of $738.43 million during the quarter, compared to analyst estimates of $731.81 million.
Here are the key takeaways from Sabre’s conference call:
- Sabre raised its 2026 pro forma adjusted EBITDA outlook for the second consecutive quarter, to approximately $610 million, and increased its free cash flow outlook to approximately negative $50 million. Excluding about $60 million in restructuring costs, the company expects positive free cash flow in 2026 and anticipates positive free cash flow in 2027.
- Third-quarter revenue grew 3% to $738 million, while normalized adjusted EBITDA rose 13% to $170 million and adjusted EBITDA margin expanded 200 basis points. Gross margin of 57.7% exceeded the company’s prior expected range.
- Air Marketplace bookings declined 1%, with Sabre estimating that Middle East conflict and higher fuel prices created a 300–400 basis-point headwind; softer leisure demand was most pronounced in EMEA and Asia Pacific. The company reaffirmed its full-year bookings outlook and said bookings had improved sequentially early in the fourth quarter.
- Sabre cited growth opportunities across its businesses: lodging and other bookings rose 8%, hotel-related revenue increased 14%, and quarterly payments gross spend grew 27%. It also pointed to new airline technology wins and said its refinancing extended $1.35 billion of maturities to 2032, with no large maturities due before the third quarter of 2029.
Sabre Stock Up 0.3%
SABR stock opened at $1.69 on Friday. Sabre has a 52-week low of $0.81 and a 52-week high of $2.50. The firm has a market cap of $680.03 million, a P/E ratio of -4.32 and a beta of 1.18. The company’s 50-day simple moving average is $1.94 and its 200-day simple moving average is $1.74.
Analyst Upgrades and Downgrades
Several research analysts recently issued reports on the stock. Citigroup reiterated a “buy” rating on shares of Sabre in a research report on Thursday, August 27th. Weiss Ratings lowered Sabre from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Tuesday, August 11th. Finally, Zacks Research lowered Sabre from a “hold” rating to a “strong sell” rating in a report on Monday, October 26th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, Sabre has an average rating of “Reduce” and a consensus price target of $1.75.
View Our Latest Stock Report on Sabre
Key Sabre News
Here are the key news stories impacting Sabre this week:
- Positive Sentiment: Sabre earned $0.11 per share, beating analysts’ $0.02 estimate and improving from a $0.01-per-share loss a year earlier. Revenue was $738.43 million, also ahead of the $731.81 million consensus. The earnings beat is a positive signal for investors. Sabre Q3 Earnings and Revenues Beat Estimates
- Neutral Sentiment: Sabre’s work with PayPal and Mindtrip on agentic travel booking points to potential new ways to facilitate travel discovery and bookings. The report does not quantify the initiative’s expected financial contribution. Inside the PayPal-Sabre-Mindtrip playbook for agentic travel booking
- Negative Sentiment: High fuel costs weighed on air bookings in the third quarter. Weaker booking activity could temper the benefit of Sabre’s earnings beat if the pressure persists. High fuel costs lead to decline in Sabre’s Q3 air bookings
About Sabre
Sabre Corporation is a travel technology company that provides software, data, and marketplace services to airlines, hotels, travel agencies, corporations, and other participants in the global travel industry. Its platforms help customers search, shop, price, book, and manage travel content across air, lodging, and other travel products.
The company’s offerings include global distribution and travel marketplace capabilities, application programming interfaces, and tools such as the Sabre Red suite for travel agencies and travel sellers.
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