Stock FAQs

how much will airbnb stock be worth in 5 years

by Manuel Lockman Published 3 years ago Updated 2 years ago
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Full Answer

Should you buy Airbnb stock right now?

Right now, Airbnb is in the process of adding millions of new hosts. This makes it one of the best stocks to buy now. Airbnb’s stock is up approximately 20% so far since going public in late 2020. Another trend to keep an eye on is economic policy.

How much is Airbnb really costing you?

[2020

  • Airbnb takes 20% from hosts who are offer experiences and doesn't charge anything from guests in this case. ...
  • As a host of Airbnb, it is your choice whether you want to charge your guest for a cleaning charge or not. ...
  • With Airbnb, the host is free to charge whatever they feel is right for their space. ...

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When can I buy Airbnb stock?

The Airbnb Directed Share Program for Hosts. 1. Buy Airbnb Stock After the Airbnb IPO. The IPO completed on December 10th. Even though you didn’t get Airbnb at the IPO price, you can still own the company. In some cases, investors can get in at a price near or below the IPO price (if the stock falls).

How fast can you make a profit with Airbnb?

  • a digital keyless entry system to make it easy for guests to access your place remotely (without losing the keys)
  • WiFi and, depending on the size of your apartment, a WiFi network extender
  • a SmartTV
  • extra towels (the more you start with, the less frequently you’ll need to do laundry)
  • toiletries such as shampoo and soap

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Is Airbnb profitable in 2022?

Q1 Adjusted EBITDA of $229 million was our first profitable Q1. Adjusted EBITDA in Q1 2022 of $229 million was a significant improvement from losses in both Q1 2019 and Q1 2021. Adjusted EBITDA margin was 15% for Q1 2022.

Is Airbnb a good stock to invest?

A close look at the short-term rental platform suggests it's still a resilient investment. Airbnb (ABNB 0.65%) posted its first-quarter earnings report on May 3. The short-term rental platform's revenue rose 70% year over year to $1.51 billion, which beat analysts' estimates by $60 million.

What is the future of Airbnb stock?

The investment bank also boosted its fiscal 2022 earnings estimate to $1.33 a share from 76 cents and the 2023 forecast to $2.21 from $1.16. The Street's current consensus forecast: $1.84 a share for 2022 vs. a net loss of 57 cents last year, and $2.42 (up 32%) for 2023.

Will Airbnb stock go up 2022?

If Airbnb sees success in those areas and management gives promising guidance for the rest of 2022, expect its stock to be wheels up in 2022 and beyond. Collin Brantmeyer has positions in Airbnb, Inc., Mastercard, and Visa. The Motley Fool has positions in and recommends Airbnb, Inc., Mastercard, and Visa.

Is Airbnb stock a good long term investment?

It's an excellent time to buy Airbnb stock The company is trading at a price-to-free cash flow multiple of 48. That's roughly the lowest investors have ever been able to purchase Airbnb's stock. Keep in mind Airbnb's prospects are excellent in the near and long term.

Is Airbnb a buy or hold?

The Airbnb, Inc. stock holds a buy signal from the short-term moving average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the stock giving a more negative forecast for the stock.

Will Airbnb ever be profitable?

Profits for the quarter rose 280% year over year and the company saw its highest revenue and net income ever. Airbnb said it expects vaccination progress and the recovery of international travel to lead growth in the fourth quarter and new year.

Will Airbnb keep growing?

According to Airbnb's Q3 2021 earnings report, long-term stays of 28 days or more remain its fastest-growing category by trip length and accounted for 20% of gross nights booked in Q3 2021, up from 14% in pre-pandemic Q3 2019. Additionally, 45% of gross nights booked were from stays of at least seven nights in Q3 2021.

Will Airbnb pay dividends?

AIRBNB (NASDAQ: ABNB) does not pay a dividend.

Is trip com stock a buy?

Trip.com Group has received a consensus rating of Buy. The company's average rating score is 2.82, and is based on 9 buy ratings, 2 hold ratings, and no sell ratings.

Is Airbnb a buy right now?

31 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for Airbnb in the last twelve months. There are currently 1...

When is Airbnb's next earnings date?

Airbnb is scheduled to release its next quarterly earnings announcement on Thursday, August 11th 2022. View our earnings forecast for Airbnb .

How were Airbnb's earnings last quarter?

Airbnb, Inc. (NASDAQ:ABNB) posted its earnings results on Tuesday, May, 3rd. The company reported ($0.03) EPS for the quarter, topping analysts' co...

What guidance has Airbnb issued on next quarter's earnings?

Airbnb updated its second quarter 2022 earnings guidance on Monday, May, 9th. The company provided earnings per share guidance of for the period. T...

What price target have analysts set for ABNB?

31 Wall Street analysts have issued 12-month target prices for Airbnb's stock. Their forecasts range from $150.00 to $250.00. On average, they anti...

Who are Airbnb's key executives?

Airbnb's management team includes the following people: Mr. Brian Chesky , Co-Founder, CEO, Head of Community & Chairman (Age 40, Pay $132.15k)...

Who are some of Airbnb's key competitors?

Some companies that are related to Airbnb include Marriott International (MAR) , Royal Caribbean Cruises (RCL) , Carnival Co. & (CCL) , Hyatt H...

When did Airbnb IPO?

(ABNB) raised $2.4 billion in an initial public offering (IPO) on Thursday, December 10th 2020. The company issued 51,900,000 shares at a price of...

What is Airbnb's stock symbol?

Airbnb trades on the NASDAQ under the ticker symbol "ABNB."

Historical and forecast chart of Airbnb stock

The chart below shows the historical price of Airbnb stock and a prediction chart for the next year. For convenience, prices are divided by color. Forecast prices include: Optimistic Forecast, Pessimistic Forecast, and Weighted Average Best Forecast. Detailed values for the Airbnb stock price can be found in the table below.

Airbnb information and performance

Airbnb, Inc. – an online trading platform for travelers. The company offers rental, homestay and travel services through websites and mobile apps to customers around the world.

Airbnb price target for 2021 by month

The weighted average target price per Airbnb share in Jan 2025 is: 202.72. In Jan, the positive dynamics for Momo shares will prevail with possible monthly volatility of 14.618% volatility is expected.

How much does Airbnb make?

Airbnb has a market capitalization of $87.43 billion and generates $3.38 billion in revenue each year. The company earns $-4,584,720,000.00 in net income (profit) each year or ($15.53) on an earnings per share basis.

When did Airbnb's lock up expire?

When did the company's lock-up period expire? Airbnb's lock-up period expired on Tuesday, June 8th. Airbnb had issued 51,323,531 shares in its public offering on December 10th. The total size of the offering was $3,490,000,108 based on an initial share price of $68.00.

How much did Airbnb revenue drop in 2020?

The pandemic hammered the travel industry across the board, and Airbnb was no exception. For the first nine months of 2020, revenue dropped by 32% year over year as more travelers opted to stay home to protect themselves from COVID-19.

How many properties does Tripping have?

Interestingly, Tripping.com boasts over 12 million properties on its platform, compared with about six million active listings for Airbnb. However, as the industry pioneer and publicly-traded option, Airbnb has captivated the market.

Is Airbnb a five star company?

With its recent IPO, many hope Airbnb ( NASDAQ:ABNB) will deliver five-star returns to investors. Given the rising popularity of its short-term vacation rentals, this stock could certainly deliver for early shareholders. However, some might be wondering if it can also turn some of those shareholders into millionaires.

How much did Airbnb take out?

But Airbnb was forced to accept poor terms in order to secure financing. It laid off staff, took a $1 billion loan with a 10% interest rate and offered warrants to investors valuing the company at $18 billion.

What do you like about Airbnb?

I like a few things about Airbnb. First, the experience is so unique. Being able to rent out rooms or entire dwellings, travelers can take temporary reprieve in apartments, condos or homes. They can stay for a weekend or several months. And I love that Airbnb’s become a denominal — like Googling. “Verb” stocks tend to have staying power.

Is Snowflake stock a reasonable level?

It’s completely possible that Snowflake, Airbnb stock and other high-quality new issues never come down to a reasonable level. Or at least, reasonable to us. But in my view that would be an anomaly. Almost all IPOs eventually give us an opportunity.

Strengths

Airbnb is synonymous with the vacation rental industry. The company has transcended traditional hotels and vacation homestays, where guests look for the best deal, the most consistent services, and the best experience.

Recent Results

Airbnb reported a strong growth in the third quarter of 2021 and saw revenues of $2.24 billion, up 67% from the previous year, beating estimates of $2.05 billion. Earnings were $1.22 per share. Net income also improved 280%, to $834 million, from the third quarter of 2020.

Valuation Metrics

Airbnb’s stock looks richly valued right now as the EV/EBITDA multiple of 62.5x and the P/E ratio of 307.4x are both quite high.

Summary and Conclusions

Airbnb is a leading hospitality network company with a presence across the globe and a massive user base of both consumers and providers. As a result, it enjoys a strong competitive advantage and should continue to grow for years to come. Furthermore, Wall Street analysts are generally bullish on the stock at the current price.

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TipRanks is the most comprehensive data set of sell side analysts and hedge fund managers. TipRanks' multi-award winning platform ranks financial experts based on measured performance and the accuracy of their predictions so investors know who to trust when making investment decisions.

How much is Airbnb worth?

This puts the company’s valuation at about $75 billion as of Tuesday. That’s more than Marriott - the largest hotel chain - and Hilton hotels combined.

How much revenue does Airbnb make in 2019?

The portion of Gross Bookings that Airbnb recognizes as Revenue rose from $2.6 billion in 2017 to around $4.8 billion in 2019. However, the number is likely to fall sharply in 2020 as Covid-19 has hurt the vacation rental market, with total Revenue likely to fall by about 30% year-over-year.

How much will Airbnb revenue be in 2021?

Airbnb’s large inventory and affordable prices should ensure that demand rebounds sharply. We project that Revenues could stand at about $4.5 billion in 2021.

Is Airbnb asset light?

Secondly, Airbnb’s asset-light model should also help its profitability in the long-run. While the company’s variable costs stood at about 25% of Revenue in 2019 (for a 75% gross margin) fixed operating costs such as Sales and marketing (about 34% of Revenues) and product development (20% of Revenue) currently remain high.

What Causes People to Have a Positive Opinion of Airbnb Stock?

For starters, it is common for such companies to take some time before becoming profitable. People aren’t investing in them in the expectation of them making a profit right away. Instead, they are betting on their future prospects. Certainly, there are cases in which a lack of profitability is a serious warning sign.

What Causes People to Have a Negative Opinion of Airbnb Stock?

In contrast, people who aren’t willing to invest in Airbnb stock are less optimistic about the corporation’s chances of becoming profitable. They tend to acknowledge that it has a clear path to profitability. However, having a path isn’t the same as being able to walk it to a successful outcome.

Is Airbnb Stock a Good Long-Term Investment?

There is no way for interested individuals to say for sure whether a particular investment will be pay off or not. If there was, investing would be a much less messy topic than it is. Still, it might be useful for interested individuals to look at why Airbnb is unprofitable rather than the simple fact that it is unprofitable.

Further Considerations

Ultimately, interested individuals should consider their own motives for investing before examining whether Airbnb stock makes sense for them. Long-term investing is a very nebulous term.

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