Demystifying Airbnb: Insights From 17 Analyst Reviews

17 analysts have expressed a variety of opinions on Airbnb ABNB over the past quarter, offering a diverse set of opinions from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 2 1 13 1 0
Last 30D 0 0 2 0 0
1M Ago 1 1 6 0 0
2M Ago 1 0 4 1 0
3M Ago 0 0 1 0 0

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $146.29, a high estimate of $180.00, and a low estimate of $110.00. Observing a 9.29% increase, the current average has risen from the previous average price target of $133.86.

price target chart

Decoding Analyst Ratings: A Detailed Look

In examining recent analyst actions, we gain insights into how financial experts perceive Airbnb. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Justin Post B of A Securities Raises Neutral $168.00 $155.00
Patrick Scholes Truist Securities Raises Hold $131.00 $118.00
Stephen Ju UBS Lowers Neutral $143.00 $148.00
Doug Anmuth JP Morgan Raises Neutral $140.00 $118.00
Thomas Champion Piper Sandler Raises Neutral $145.00 $136.00
Brian Pitz BMO Capital Raises Market Perform $135.00 $134.00
Bernie McTernan Needham Raises Buy $160.00 $150.00
Brad Erickson RBC Capital Raises Sector Perform $150.00 $140.00
Shyam Patil Susquehanna Raises Positive $180.00 $160.00
Tom White DA Davidson Announces Neutral $145.00 -
Stephen Ju UBS Raises Neutral $148.00 $125.00
Lloyd Walmsley UBS Raises Neutral $148.00 $125.00
Scott Devitt Wedbush Raises Neutral $150.00 $135.00
Mario Lu Barclays Raises Underweight $110.00 $100.00
Bernie McTernan Needham Maintains Buy $150.00 -
James Lee Mizuho Raises Neutral $150.00 $130.00
Brian Pitz BMO Capital Announces Market Perform $134.00 -

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Airbnb. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Airbnb compared to the broader market.
  • Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Airbnb's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Airbnb analyst ratings.

About Airbnb

Started in 2008, Airbnb is the world's largest online alternative accommodation travel agency, also offering booking services for boutique hotels and experiences. Airbnb's platform offered 7.7 million active accommodation listings as of Dec. 31, 2023. Listings from the company's over 5 million hosts are spread over almost every country in the world. In 2023, 50% of revenue was from the North American region. Transaction fees for online bookings account for all its revenue.

Unraveling the Financial Story of Airbnb

Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.

Revenue Growth: Airbnb's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 16.61%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Airbnb's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -15.73%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of -4.04%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Airbnb's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -1.66%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Airbnb's debt-to-equity ratio is below the industry average at 0.28, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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