Airbnb (NASDAQ:ABNB) stock gained over 3% yesterday after two analysts issued fresh ratings on the stock. A Top-rated analyst at Benchmark Co., Daniel Kurnos, is bullish about ABNB’s efforts to expand its market reach. However, another analyst, Bernie McTernan from Needham, is less upbeat about the stock. He downgraded the rating on Airbnb stock to Hold from Buy and removed his price target for the stock.
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Bullish Analyst’s Opinion on ABNB
Kurnos maintained a Buy rating on Airbnb with a price target of $190, which implies about 15% upside potential from the current level.
He believes Airbnb can continue to expand its business by entering new markets. Furthermore, Kurnos expects ABNB to witness higher demand due to upcoming major events like “Euro 2024″ and the ‘Paris Olympics.” Also, new service fees, like the cross-border fee and potential future service launches, could boost revenue for the company.
Additionally, the analyst highlighted that, despite rising competition, Airbnb remains the preferred choice for consumers, hosts, and independent travel experts.
McTernan Holds a Bearish View
According to the analyst, Airbnb might face trouble expanding globally due to increasing competition in the travel booking space.
Also, the analyst finds the valuation expensive and hence prefers to remain on the sidelines for now. He believes that ABNB stock is trading at a premium compared to its peers.
Is Airbnb a Buy, Sell, or Hold?
Turning to Wall Street, analysts have mixed opinions about Airbnb. The stock has a Hold consensus rating based on seven Buys, 20 Holds, and four Sells assigned in the past three months. After a 21.519% surge in its share price so far this year, the analysts’ average price target on ABNB stock of $149.11 per share implies a 9.86% downside potential.
If you’re wondering which analyst you should follow if you want to trade ABNB stock, the most accurate and profitable analyst covering the stock (on a one-year timeframe) is Richard Clarke from Bernstein. He boasts an average return of 23.54% per rating and a 100% success rate. Click on the image below to learn more.
