When the Covid-19 pandemic wreaked havoc across the globe, technology companies experienced a surge in demand as people adapted to remote work. Remote work, once a necessity, has now become a prevalent mode of operation. While this shift may not sit well with some corporate leaders and real estate owners, savvy investors can capitalize on this trend.

Let’s delve into three companies that have witnessed remarkable growth in revenue and earnings due to the continued embrace of remote work.

Airbnb, the Trailblazer (ABNB)

Established in 2007 and headquartered in San Francisco, Airbnb (NASDAQ:ABNB) epitomizes the essence of the modern digital economy. The company’s platform facilitates the connection between hosts offering accommodations and experiences with guests worldwide. The allure of Airbnb lies in its ability to provide a homely atmosphere, a key selling point during the pandemic.

Despite a temporary lull in travel during the height of the pandemic, a resurgence in travel occurred as borders reopened in 2021 and 2022. The newfound norm of both travel and remote work has propelled Airbnb’s growth, with a surge in short-term bookings by travelers combining work and leisure. The company has showcased robust revenue growth and significant earnings per share (EPS) improvement.

ABNB shares have surged over 21% year to date (YTD) and are poised for further growth as remote work gains permanence.

Alphabet’s Dominance (GOOG)

Famed for being the parent company of Google, YouTube, and Google Cloud, Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG) requires no introduction. The conglomerate’s diversified presence in various tech sectors has shielded it from turbulent economic landscapes that have impacted others.

Alphabet’s foray into cloud computing has been a significant revenue driver, especially during the pandemic’s peak in 2020. The company’s recent Q4’2023 earnings report highlighted a stellar 26% year-over-year (YOY) growth in cloud revenue. The surge in remote work has corresponded with increased adoption of Google’s cloud services, with the upcoming utilization of Gemini, the AI platform.

Despite GOOG shares trading flat in 2024, Alphabet stands as an attractive investment proposition at only 20.7 times forward earnings.

Booking.com’s Resilience (BKNG)

Revitalized Travel Titan: Booking Holdings Inc.

Navigating Adversity

The tumultuous seas that characterized the global travel landscape during the pandemic engulfed many industry giants, and Booking Holdings Inc. (NASDAQ:BKNG) was no exception. As countries sealed their borders and grounded flights, Booking.com, Priceline.com, Kayak.com, and Agoda.com found themselves stranded on unfamiliar shores.

A Phoenix Rising

However, as the world gradually emerges from the shadows of lockdowns and travel embargoes, a remarkable transformation is underway. In the fiscal years 2021 and 2022, BKNG witnessed a resurgence in revenue, with growth rates soaring to unprecedented heights of 61% and 56% year over year, respectively. The company’s remarkable trajectory continued into 2023, marked by yet another year of robust double-digit growth.

Adapting to the New Horizon

Sailing against the prevailing winds of uncertainty, Booking Holdings Inc. has adeptly adjusted its course to capitalize on the evolving dynamics of remote work. In a world where the boundaries between office space and leisure destinations are increasingly blurred, the allure of travel has beckoned to both seasoned wanderers and fresh sojourners alike.

Charting Profitable Waters

The buoyant tide of success is evident in the stock market as well, with BKNG shares navigating a 46% surge over the past 12 months. Yet, despite this impressive ascent, the stock remains attractively valued, hinting at the potential for further gains that could rival the heights of Everest itself.

Epilogue

In essence, as the world watches with bated breath, Booking Holdings Inc. stands as a revitalized titan in the realm of online travel agencies. Its resurgence amidst adversity serves as a testament to the resilience and adaptability of those who dare to traverse uncharted waters in search of brighter horizons.