Airbnb (NASDAQ:ABNB) Earns “Outperform” Rating from Royal Bank Of Canada

Airbnb (NASDAQ:ABNB)‘s stock had its “outperform” rating restated by Royal Bank Of Canada in a report released on Thursday,Benzinga reports. They presently have a $173.00 target price on the stock. Royal Bank Of Canada’s price objective would indicate a potential upside of 32.20% from the company’s previous close.

Other equities research analysts have also issued reports about the stock. Wedbush raised shares of Airbnb from a “neutral” rating to a “neutral” rating in a report on Monday, May 4th. Wells Fargo & Company upped their price objective on shares of Airbnb from $178.00 to $181.00 and gave the company an “overweight” rating in a research note on Friday, May 8th. Mizuho upped their price objective on shares of Airbnb from $156.00 to $175.00 and gave the company an “outperform” rating in a research note on Tuesday, March 3rd. Scotiabank started coverage on shares of Airbnb in a research note on Monday, May 4th. They issued an “outperform” rating on the stock. Finally, UBS Group upped their price objective on shares of Airbnb from $153.00 to $157.00 and gave the company a “neutral” rating in a research note on Friday, May 8th. Two analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Airbnb has a consensus rating of “Moderate Buy” and a consensus target price of $157.67.

Airbnb Trading Down 3.5%

ABNB traded down $4.69 during trading on Thursday, reaching $130.86. 810,781 shares of the company’s stock were exchanged, compared to its average volume of 4,248,923. Airbnb has a one year low of $110.81 and a one year high of $147.25. The company has a current ratio of 1.44, a quick ratio of 1.44 and a debt-to-equity ratio of 0.32. The stock has a market capitalization of $78.87 billion, a PE ratio of 32.27, a price-to-earnings-growth ratio of 1.41 and a beta of 1.20. The firm has a fifty day moving average price of $133.52 and a two-hundred day moving average price of $129.76.

Airbnb (NASDAQ:ABNB) last posted its earnings results on Thursday, May 7th. The company reported $0.26 earnings per share for the quarter, missing analysts’ consensus estimates of $0.31 by ($0.05). Airbnb had a return on equity of 31.24% and a net margin of 19.90%.The business had revenue of $2.68 billion for the quarter, compared to the consensus estimate of $2.62 billion. During the same period in the previous year, the firm earned $0.24 earnings per share. The company’s revenue was up 17.9% compared to the same quarter last year. As a group, equities research analysts forecast that Airbnb will post 4.91 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Elinor Mertz sold 3,750 shares of the company’s stock in a transaction on Monday, May 4th. The shares were sold at an average price of $143.00, for a total value of $536,250.00. Following the sale, the chief financial officer directly owned 463,415 shares of the company’s stock, valued at approximately $66,268,345. This represents a 0.80% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Nathan Blecharczyk sold 627 shares of the company’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $145.67, for a total transaction of $91,335.09. Following the completion of the sale, the insider directly owned 11,920 shares in the company, valued at approximately $1,736,386.40. This represents a 5.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 513,838 shares of company stock valued at $69,467,685. 27.21% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. lifted its position in shares of Airbnb by 1.7% during the 3rd quarter. Vanguard Group Inc. now owns 38,295,288 shares of the company’s stock valued at $4,649,814,000 after acquiring an additional 649,323 shares during the period. Harris Associates L P lifted its position in shares of Airbnb by 21.0% during the 4th quarter. Harris Associates L P now owns 18,694,408 shares of the company’s stock valued at $2,537,205,000 after acquiring an additional 3,240,477 shares during the period. Geode Capital Management LLC lifted its position in shares of Airbnb by 0.5% during the 4th quarter. Geode Capital Management LLC now owns 10,076,465 shares of the company’s stock valued at $1,368,338,000 after acquiring an additional 47,966 shares during the period. AQR Capital Management LLC lifted its position in shares of Airbnb by 58.4% during the 4th quarter. AQR Capital Management LLC now owns 6,762,784 shares of the company’s stock valued at $917,845,000 after acquiring an additional 2,492,847 shares during the period. Finally, Clearbridge Investments LLC lifted its position in shares of Airbnb by 3.7% during the 4th quarter. Clearbridge Investments LLC now owns 6,073,947 shares of the company’s stock valued at $824,356,000 after acquiring an additional 216,455 shares during the period. Institutional investors and hedge funds own 80.76% of the company’s stock.

Key Stories Impacting Airbnb

Here are the key news stories impacting Airbnb this week:

• Positive Sentiment: Airbnb unveiled a broad app expansion that adds boutique hotels, car rentals, airport/train pickups, luggage storage, grocery delivery through Instacart, and AI-powered travel tools. The move could open new revenue streams and make the platform stickier for travelers. Airbnb adds hotels, car rentals. Chesky says app can become an ‘Amazon for services’
• Positive Sentiment: CEO Brian Chesky is pitching Airbnb as an “ecosystem of services” for travel and living, which supports a longer-term growth narrative and suggests the company is trying to diversify beyond short-term rentals. Airbnb Expands Into Car Rentals, Food, Hotels
• Neutral Sentiment: Airbnb is also getting a lot of attention from media and analyst commentary around the expansion, which may keep sentiment elevated but does not by itself change fundamentals. Airbnb gets into hotels, expands AI for host onboarding and customer support
• Negative Sentiment: The expansion also underscores pressure on Airbnb’s core business from tighter local regulation on short-term rentals, raising questions about how much growth can still come from its original model. Airbnb expands into hotels, cars, groceries
• Negative Sentiment: Director Joseph Gebbia sold 54,000 shares worth about $7.28 million, a move that can weigh on investor sentiment even if it reflects personal portfolio management rather than a change in business outlook. SEC filing for Joseph Gebbia transaction

About Airbnb

Airbnb, Inc (NASDAQ: ABNB) operates a global online marketplace that connects travelers with hosts offering short-term lodging, unique accommodations and related travel experiences. The company’s core platform enables individuals and professional property managers to list private homes, apartments, single rooms and entire properties, while providing search, booking and payment processing for guests. Airbnb earns revenue primarily through service fees charged to guests and hosts and offers tools to facilitate reservations, communications, and logistics between parties.

Beyond accommodations, Airbnb has expanded its product portfolio to include curated experiences led by local hosts, higher-end offerings such as Airbnb Luxe, and programs aimed at enhancing quality and safety like Airbnb Plus.