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Airbnb Stock Falls on Guidance but Analysts Remain Bullish

'We continue to believe that ABNB remains one of the best assets in travel and in a distinct position to flex,' says Jefferies' analyst Brent Thill.
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Airbnb  (ABNB) - Get Airbnb Report shares fell Friday after the online home-share company issued mixed guidance for the third quarter.

Analysts, however, remained bullish on the stock after the company's strong second-quarter earnings report.

The stock traded Friday at $148.50, down 2%.

Airbnb said that in the "near term, we anticipate that the impact of COVID-19 and the introduction and spread of new variants … will continue to affect overall travel behavior."

“As a result, year-over-year comparisons for nights and experiences booked … will continue to be more volatile.” But, the company said, “we expect Q3 to be our strongest quarterly revenue on record and to deliver the highest adjusted EBITDA dollars and margin ever.”

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Jefferies’ Brent Thill has a buy rating and price target of $190 on shares of Airbnb.

“ABNB keeps exceeding expectations with a 2Q print … 6% ahead of consensus on revenue,” he said. “Guidance was somewhat mixed … [but] we continue to believe that ABNB remains one of the best assets in travel and in a distinct position to flex, with its alternative travel portfolio.”

KeyBanc’s Justin Patterson has an overweight rating and a $180 price target. “Airbnb delivered strong 2Q results that support our margin inflection thesis,” he said.

“We believe the bull/bear debate will center on whether 3Q guidance … is a near-term blip due to the Delta variant or a sign of behavior shift/share loss. Our view is the former.”

Credit Suisse analyst Stephen Ju has a neutral rating and raised his price target to $167 from $164.