Global Business Travel Shares Surge 13.2% on Q2 Earnings Beat, DOJ Drops Lawsuit

Global Business Travel (GBTG) shares rose 13.2% after Q2 financial results exceeded expectations and full-year guidance was raised. The company's revenue increased 1% YoY to $631 million, and adjusted EBITDA grew 4% to $133 million. The DOJ also dismissed a lawsuit challenging the CWT acquisition. A Deutsche Bank analyst raised the price target while maintaining a "Buy" rating, and management announced a $300 million share buyback program.

Global Business Travel (GBTG) shares surged 13.2% following the release of its Q2 financial results, which exceeded expectations. The company reported a 1% year-over-year (YoY) increase in revenue to $631 million, while adjusted EBITDA grew 4% to $133 million [1].

The company also announced an increase in its full-year revenue guidance to $2.49 billion, up from $2.43 billion, and raised its EBITDA guidance to $522.5 million [1]. Additionally, the Department of Justice (DOJ) dismissed a lawsuit challenging the company's acquisition of CWT, a significant milestone for the company [1].

In response to the positive results, Deutsche Bank analyst Paul Abbott raised the price target for GBTG while maintaining a "Buy" rating. Management also announced a $300 million share buyback program to underscore confidence in the business [1].

Despite the positive developments, investors should remain cautious. The company's free cash flow margin has regressed, averaging 5.9% over the last year, and its operating margin decreased to 5.4% from 6.7% in the same quarter last year [1]. Additionally, the company's revenue growth is expected to decelerate to 2.9% over the next 12 months, suggesting potential demand challenges for its products and services [1].

Investors should closely monitor the company's earnings outlook and management's commentary on the earnings call to gauge the sustainability of the stock's immediate price movement. The current consensus EPS estimate for the coming quarter is $0.04 on $583.85 million in revenues, and for the current fiscal year, it is $0.21 on $2.42 billion in revenues [3].

References:
[1] https://markets.financialcontent.com/stocks/article/stockstory-2025-8-5-global-business-travel-nysegbtg-reports-q2-in-line-with-expectations-stock-soars
[3] https://www.nasdaq.com/articles/global-business-travel-group-inc-gbtg-q2-earnings-and-revenues-beat-estimates