DA Davidson Forecasts Strong Price Appreciation for Airbnb (NASDAQ:ABNB) Stock

Key Points

• DA Davidson raised Airbnb’s price target from $162 to $175 and maintained a “buy” rating. The broader analyst consensus is “Moderate Buy,” with an average target of $171.97.
• Airbnb reported quarterly EPS of $1.37, beating estimates of $1.26, while revenue reached $3.61 billion, up 16.3% year over year and slightly above expectations.
• Insiders have sold approximately $334.2 million worth of Airbnb shares over the past 90 days, while institutional investors and hedge funds own 80.76% of the company.

Airbnb (NASDAQ:ABNB - Get Free Report) had its target price hoisted by equities research analysts at DA Davidson from $162.00 to $175.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. DA Davidson's price objective suggests a potential downside of 1.72% from the company's current price.

A number of other research analysts have also recently issued reports on the stock. UBS Group lifted their target price on shares of Airbnb from $163.00 to $172.00 and gave the company a "neutral" rating in a research note on Friday. Wedbush raised Airbnb from a "neutral" rating to an "outperform" rating and raised their price target for the company from $152.00 to $200.00 in a report on Friday. Sanford C. Bernstein reiterated an "outperform" rating on shares of Airbnb in a research report on Friday, May 22nd. Evercore reiterated an "outperform" rating and issued a $190.00 price objective on shares of Airbnb in a research report on Friday. Finally, Rodman & Renshaw started coverage on Airbnb in a report on Monday, May 4th. They set a "buy" rating on the stock. Two analysts have rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Airbnb presently has a consensus rating of "Moderate Buy" and a consensus target price of $171.97.

Airbnb Price Performance

ABNB opened at $178.07 on Friday. The firm has a market cap of $107.32 billion, a price-to-earnings ratio of 40.47, a PEG ratio of 1.89 and a beta of 1.14. The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.41 and a current ratio of 1.41. The firm's 50-day simple moving average is $143.98 and its 200-day simple moving average is $135.89. Airbnb has a twelve month low of $110.81 and a twelve month high of $178.48.

Airbnb (NASDAQ:ABNB - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.26 by $0.11. The firm had revenue of $3.61 billion during the quarter, compared to the consensus estimate of $3.58 billion. Airbnb had a net margin of 20.45% and a return on equity of 33.38%. The firm's quarterly revenue was up 16.3% on a year-over-year basis. During the same period last year, the firm posted $1.03 EPS. Equities research analysts anticipate that Airbnb will post 4.97 EPS for the current fiscal year.

Insider Activity at Airbnb

In related news, insider Nathan Blecharczyk sold 13,615 shares of the business's stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $151.80, for a total value of $2,066,757.00. Following the completion of the transaction, the insider owned 12,370 shares in the company, valued at $1,877,766. The trade was a 52.40% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Kenneth I. Chenault sold 8,346 shares of the company's stock in a transaction on Monday, June 29th. The stock was sold at an average price of $150.00, for a total value of $1,251,900.00. Following the transaction, the director directly owned 40,879 shares in the company, valued at approximately $6,131,850. This represents a 16.95% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 2,405,329 shares of company stock worth $334,175,423. 27.21% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Airbnb

Several large investors have recently made changes to their positions in ABNB. North Dakota State Investment Board acquired a new stake in shares of Airbnb in the fourth quarter valued at approximately $2,785,000. Merit Financial Group LLC grew its position in Airbnb by 72.1% in the fourth quarter. Merit Financial Group LLC now owns 32,994 shares of the company's stock valued at $4,478,000 after purchasing an additional 13,818 shares in the last quarter. North Star Asset Management Inc. increased its stake in Airbnb by 13.4% in the 4th quarter. North Star Asset Management Inc. now owns 78,564 shares of the company's stock valued at $10,663,000 after buying an additional 9,294 shares during the last quarter. Mitsubishi UFJ Trust & Banking Corp lifted its position in Airbnb by 18.3% during the 4th quarter. Mitsubishi UFJ Trust & Banking Corp now owns 223,291 shares of the company's stock worth $30,305,000 after buying an additional 34,573 shares in the last quarter. Finally, Oxbow Advisors LLC boosted its stake in shares of Airbnb by 122.9% during the 4th quarter. Oxbow Advisors LLC now owns 50,414 shares of the company's stock worth $6,842,000 after buying an additional 27,793 shares during the last quarter. Institutional investors and hedge funds own 80.76% of the company's stock.

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.

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