Airbnb (NASDAQ:ABNB) Sets New 12-Month High – Time to Buy?

Airbnb, Inc. (NASDAQ:ABNB)’s share price hit a new 52-week high on Wednesday . The stock traded as high as $188.13 and last traded at $188.3660, with a volume of 750126 shares changing hands. The stock had previously closed at $183.25.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on ABNB shares. Susquehanna lifted their target price on Airbnb from $170.00 to $200.00 and gave the stock a “positive” rating in a research report on Friday, August 7th. Citigroup increased their price target on Airbnb from $175.00 to $193.00 and gave the company a “buy” rating in a report on Friday, August 7th. Rodman & Renshaw assumed coverage on Airbnb in a research note on Monday, May 4th. They set a “buy” rating for the company. B. Riley Financial restated a “buy” rating on shares of Airbnb in a report on Friday, August 7th. Finally, JPMorgan Chase & Co. upped their target price on Airbnb from $140.00 to $170.00 and gave the company a “neutral” rating in a research report on Friday, August 7th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating, twelve have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, Airbnb presently has a consensus rating of “Moderate Buy” and an average price target of $172.00.

Airbnb Price Performance

The company has a market cap of $110.78 billion, a P/E ratio of 42.05, a P/E/G ratio of 2.16 and a beta of 1.14. The company’s 50-day moving average price is $153.06 and its two-hundred day moving average price is $139.16. The company has a current ratio of 1.41, a quick ratio of 1.41 and a debt-to-equity ratio of 0.32.

Airbnb (NASDAQ:ABNB) last issued its quarterly earnings results on Thursday, August 6th. The company reported $1.37 EPS for the quarter, topping the consensus estimate of $1.26 by $0.11. The business had revenue of $3.61 billion for the quarter, compared to analysts’ expectations of $3.58 billion. Airbnb had a net margin of 20.45% and a return on equity of 33.38%. The company’s quarterly revenue was up 16.3% compared to the same quarter last year. During the same quarter last year, the company posted $1.03 earnings per share. As a group, sell-side analysts expect that Airbnb, Inc. will post 5.22 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Joseph Gebbia sold 294,903 shares of Airbnb stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $148.43, for a total value of $43,772,452.29. Following the completion of the transaction, the director owned 2,622,452 shares in the company, valued at approximately $389,250,550.36. This trade represents a 10.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Brian Chesky sold 265,746 shares of the business’s stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $132.22, for a total value of $35,136,936.12. Following the completion of the sale, the chief executive officer owned 11,206,389 shares of the company’s stock, valued at $1,481,708,753.58. This trade represents a 2.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 3,121,551 shares of company stock valued at $461,483,447 in the last quarter. Insiders own 27.21% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Harris Associates L P lifted its holdings in shares of Airbnb by 43.2% in the 2nd quarter. Harris Associates L P now owns 14,237,331 shares of the company’s stock worth $1,884,168,000 after purchasing an additional 4,292,383 shares during the last quarter. Norges Bank acquired a new stake in Airbnb in the fourth quarter worth $480,332,000. Jennison Associates LLC lifted its stake in Airbnb by 9,331.0% in the first quarter. Jennison Associates LLC now owns 3,172,959 shares of the company’s stock valued at $400,681,000 after buying an additional 3,139,315 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Airbnb by 453.5% in the third quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 3,325,498 shares of the company’s stock valued at $403,782,000 after buying an additional 2,724,682 shares during the last quarter. Finally, Wellington Management Group LLP boosted its holdings in shares of Airbnb by 80.6% during the second quarter. Wellington Management Group LLP now owns 5,785,665 shares of the company’s stock valued at $827,929,000 after acquiring an additional 2,581,539 shares during the period. 80.76% of the stock is owned by institutional investors and hedge funds.

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.