Airbnb (ABNB) AI Stock Analysis

• Market Cap: $79.54B
• Dividend Yield: N/A
• Average Volume (3M): 4.63M
• Price to Earnings (P/E): 30.9
• Beta (1Y): 1.26
• Revenue Growth: 10.23%
• EPS Growth: -44.56%
• Country: US
• Employees: 7,300
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Services
• EPS (TTM): 1.03
• Shares Outstanding: 429,079,560
• 10 Day Avg. Volume: 4,211,250
• 30 Day Avg. Volume: 4,625,282
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 6.37
• Enterprise Value/Gross Profit: 7.65
• Enterprise Value/Ebitda: 27.65
• 1Y Price Target: $140.35
• Price Target Upside: 9.66% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 31

• Rating: 77 Outperform
• Price Target: $141.00 ▲(10.16% Upside)

Airbnb's overall stock score is driven by strong financial performance and positive earnings call sentiment, reflecting robust profitability and strategic growth initiatives. While technical analysis shows mixed signals and valuation is on the higher side, the company's strategic focus and market resilience position it well for future growth.

Positive Factors

Revenue Growth

Airbnb's consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion.

Global Expansion

Successful global expansion enhances Airbnb's market presence and diversifies revenue streams, reducing reliance on mature markets.

Cash Generation

Strong cash generation provides financial flexibility for strategic investments and shareholder returns, bolstering long-term stability.

Negative Factors

North America Growth Challenges

Slower growth in North America could limit overall revenue expansion, highlighting the need for strategic adjustments in this key market.

Scaling Services

The early stage of service offerings suggests a longer timeline before they significantly impact revenue, requiring sustained investment and innovation.

Tougher Growth Comparisons

Anticipated tougher growth comparisons may pressure future earnings, necessitating strategic initiatives to maintain investor confidence.

Airbnb Business Overview & Revenue Model

Company Description

Airbnb, Inc. (ABNB) is a global online marketplace that connects travelers seeking unique accommodations with hosts offering various lodging options, including homes, apartments, and unique stays like treehouses and castles. Founded in 2008, Airbnb operates in the travel and hospitality sector, providing a platform that enables individuals to list, discover, and book accommodations around the world. In addition to lodging, Airbnb has expanded its offerings to include experiences and adventures, allowing users to engage in local activities hosted by residents.

How the Company Makes Money

Airbnb generates revenue primarily through service fees charged to both hosts and guests. When a booking is made, Airbnb collects a percentage of the transaction as a service fee from the guest, which typically ranges from 5% to 15%, depending on the booking subtotal. Additionally, hosts are charged a flat 3% fee for each booking. This dual revenue stream from both sides of the marketplace is a core component of Airbnb's business model. Furthermore, Airbnb has ventured into the Experiences segment, where it charges hosts a percentage of the booking fee for activities offered. The company also benefits from partnerships with various organizations, such as travel agencies and tourism boards, enhancing its reach and offerings. Overall, Airbnb's diversified revenue model, combined with its extensive global presence and unique product offerings, contributes significantly to its earnings.

Airbnb Financial Statement Overview

Summary

Airbnb demonstrates strong financial health with robust income statement performance, a solid balance sheet, and efficient cash flow management. The company shows impressive profitability and revenue growth, although there is room for improvement in equity growth and cash flow generation.

Income Statement

Airbnb has shown robust performance in its income statement. The company's Gross Profit Margin is strong at 80.0% TTM (Trailing-Twelve-Months), indicating efficient cost management. The Net Profit Margin is also impressive at 22.6% TTM, highlighting profitability. Revenue has grown steadily, with a 13.6% increase from 2022 to 2023 and a further 12.1% increase in 2024. EBIT and EBITDA margins remain healthy, reinforcing Airbnb's solid earnings capability.

Balance Sheet

Airbnb's balance sheet reflects a balanced financial position with a Debt-to-Equity Ratio of 0.25 TTM, suggesting manageable leverage. The Return on Equity (ROE) is excellent at 31.9% TTM, indicating effective use of equity capital. The Equity Ratio is 31.7% TTM, showcasing a stable asset base. However, there is room for improvement in equity growth to enhance financial stability further.

Cash Flow

The cash flow statement is strong, with a positive Free Cash Flow of 4.4 billion TTM, showing effective cash generation. The Operating Cash Flow to Net Income Ratio is 1.73 TTM, indicating strong cash earnings. Free Cash Flow to Net Income Ratio is favorable at 1.73 TTM. However, the Free Cash Flow growth has slowed recently, suggesting potential areas for improvement in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.58B	11.10B	9.92B	8.40B	5.99B	3.38B
Gross Profit	9.64B	9.22B	8.21B	6.90B	4.84B	2.50B
EBITDA	2.67B	2.62B	1.56B	1.97B	276.00M	-4.38B
Net Income	2.63B	2.65B	4.79B	1.89B	-352.00M	-4.58B
Balance Sheet
Total Assets	26.99B	20.96B	20.64B	16.04B	13.71B	10.49B
Cash, Cash Equivalents and Short-Term Investments	11.36B	10.61B	10.07B	9.62B	8.32B	6.39B
Total Debt	2.28B	2.29B	2.30B	2.34B	2.42B	2.33B
Total Liabilities	19.21B	12.55B	12.48B	10.48B	8.93B	7.59B
Stockholders Equity	7.78B	8.41B	8.16B	5.56B	4.78B	2.90B
Cash Flow
Free Cash Flow	4.29B	4.52B	3.88B	3.40B	2.31B	-667.10M
Operating Cash Flow	4.31B	4.52B	3.88B	3.43B	2.31B	-629.73M
Investing Cash Flow	-664.00M	-616.00M	-1.04B	-28.00M	-1.35B	79.59M
Financing Cash Flow	-4.04B	-3.57B	-2.43B	-689.00M	1.31B	2.94B

Airbnb Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 127.99
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ABNB, the sentiment is Positive. The current price of 127.99 is above the 20-day moving average (MA) of 123.02, above the 50-day MA of 124.37, and below the 200-day MA of 129.27, indicating a neutral trend. The MACD of 1.05 indicates Negative momentum. The RSI at 61.19 is Neutral, neither overbought nor oversold. The STOCH value of 84.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ABNB.

Airbnb Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABNB	77 Outperform	$79.54B	30.88	33.26%	―	10.23%	-44.56%
TCOM	73 Outperform	$47.85B	20.14	12.94%	0.38%	17.73%	27.95%
EXPE	72 Outperform	$27.08B	26.78	129.04%	0.55%	5.69%	47.33%
MMYT	66 Neutral	$8.53B	101.76	22.38%	―	18.13%	-55.21%
BKNG	64 Neutral	$166.79B	35.79	―	0.73%	11.72%	0.51%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
TRIP	58 Neutral	$1.93B	34.93	8.76%	―	3.03%	187.03%

Airbnb Corporate Events

Airbnb’s Earnings Call: Strong Growth Amid Challenges

Airbnb’s recent earnings call painted a picture of robust financial health and strategic growth, tempered by certain challenges. The sentiment was largely positive, with strong financial performance and global market expansion being key highlights. However, concerns were raised regarding growth pressures and high investment costs.

Airbnb Reports Strong Q2 2025 Earnings Growth

Airbnb, Inc. is a global online marketplace that connects travelers with hosts offering unique stays and experiences in over 220 countries, transforming the way people travel and engage with communities. In its recent earnings report for Q2 2025, Airbnb showcased strong financial performance with a 13% year-over-year revenue increase to $3.1 billion, driven by growth in nights stayed and a slight rise in average daily rates. The company’s net income rose by 16% to $642 million, while adjusted EBITDA increased by 17% to $1.0 billion, reflecting a robust 34% margin. Airbnb’s strategic initiatives, including expanding its core services, accelerating growth in global markets, and launching new offerings like Airbnb Services and Experiences, have contributed to its success. The company also announced a new $6 billion share repurchase program, highlighting its strong cash flow and commitment to returning capital to shareholders. Looking ahead, Airbnb remains optimistic about continued demand growth, though it anticipates challenges in year-over-year comparisons in the latter half of the year due to previous strong performance.