Sabre Corp. (SABR) Reports Strong 2025 Growth and EBITDA Expansion Despite Q4 Headwinds

Sabre Corporation (NASDAQ:SABR) is one of the best penny stocks under $1 to buy right now. On February 18, Sabre Corp. reported strong financial performance for 2025, which was highlighted by a 10% year-on-year increase in normalized adjusted EBITDA and a margin improvement to 19%. Despite facing external headwinds, including a US government shutdown that slowed Q4 bookings, Sabre Corp. ended the year with $2.8 billion in revenue and a robust cash balance of $910 million.

The company is positioning itself as a leader in travel-based AI, launching several industry-first solutions and expanding partnerships with entities like PayPal and MindTrip. While NDC bookings grew to represent 4% of total air distribution by year-end, management expects further scaling through 2026. However, Sabre Corp. anticipates 2026 pro forma free cash flow to be negative $70 million, largely due to $60 million in restructuring costs aimed at long-term efficiency.

Sabre Corp. (SABR) Reports Strong 2025 Growth and EBITDA Expansion Despite Q4 Headwinds

Looking ahead, the company’s CEO expressed confidence in mid-single-digit volume growth for 2026, driven by market share gains and a new multi-source low-cost carrier solution. Sabre Corporation (NASDAQ:SABR) remains focused on the agentic travel ecosystem, arguing that its foundational infrastructure is essential for AI companies to manage complex transaction volumes.

Sabre Corporation (NASDAQ:SABR), together with its subsidiaries, operates as a software and technology company for the travel industry in the US, Europe, Asia-Pacific, and internationally.

While we acknowledge the potential of SABR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SABR and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. Follow Insider Monkey on Google News.