Airbnb Inc ABNB shares are trading higher Wednesday after the company reported strong fourth-quarter results and issued guidance above estimates, noting strong demand. Several analysts also raised price targets on the stock following the company's report.
What Happened: Airbnb said fourth-quarter revenue increased 24% year-over-year to $1.86 billion. The company reported quarterly earnings of 25 cents per share, which was in line with average analyst estimates, according to Benzinga Pro.
Gross booking volume jumped 20% year-over-year to $13.5 billion. Nights and experiences booked came in at 88.2, up 20% year-over-year. The company said all regions saw significant growth in 2022.
Free cash flow increased 21% year-over-year to $455 million.
"Looking forward to 2023, we’re seeing strong demand in Q1, indicating that consumer confidence to travel remains high," the company said in a letter to shareholders.
Airbnb plans to focus on making hosting mainstream, perfecting its core service and expanding beyond the core in 2023. The company expects first-quarter revenue of $1.75 billion versus estimates of $1.69 billion.
"We have some big ideas where to take Airbnb next, and this year we will build the foundation for future products and services that will provide incremental growth for years to come," Airbnb said.
Related Link: Airbnb Earnings Highlights: Record Q4 Profitability, Nights Growth, 3 Pillars For 2023 And More
Analyst Assessment:
- Keybanc analyst Justin Patterson maintained Airbnb with an Overweight and raised the price target from $142 to $144.
- Credit Suisse analyst Stephen Ju maintained Airbnb with a Neutral and raised the price target from $154 to $160.
- UBS analyst Lloyd Walmsley maintained Airbnb with a Neutral and raised the price target from $114 to $130.
- Baird analyst Colin Sebastian maintained Airbnb with a Neutral and raised the price target from $100 to $125.
- Wells Fargo analyst Brian Fitzgerald maintained Airbnb with an Overweight and raised the price target from $130 to $165.
- Cowen & Co. analyst Kevin Kopelman maintained Airbnb with an Outperform and raised the price target from $135 to $145.
ABNB Price Action: Airbnb has a 52-week high of $191.73 and a 52-week low of $81.91.
The stock was up 8.95% at $131.70 at the time of writing, according to Benzinga Pro.
Photo: Public Co from Pixabay.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Date | ticker | name | Actual EPS | EPS Surprise | Actual Rev | Rev Surprise |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
