Bernstein Reiterates Outperform Rating on Airbnb Inc. (ABNB) Ahead of FY25 Summer Release

Bernstein SocGen Group analyst Richard Clarke reiterated an Outperform rating and $185.00 price target on Airbnb Inc. (NASDAQ: ABNB).

The analyst commented: "Airbnb is expected to present its FY25 Summer release on 13 May, a week after its Q1 earnings release. This will be Airbnb’s 9th product release but this one can be expected to be more meaningful given it will be (1) in person in Los Angeles, (2) they have invited some top shareholders, and hence for the first time we are writing a preview of it. Much is well flagged, including Experiences 2.0, the first customer facing AI use case (the “Concierge”) and the wider expansion of the Co-Host program; but we expect there will be more including more vertical extensions, an update on the ambitions behind Hotel Tonight and even a potential AI-powered relaunch of the entire booking/check-out engine. We also expect some less strategic topics, as Airbnb looks to offset any anti-US sentiment (especially post Joe Gebbia’s admission to the DOGE team) and present its global-friendly ambitions. For most travel stocks, it is very hard to cut through the macro negativity at present — but if any event has the chance to shift the narrative it will be a major Airbnb product launch that is additive to the growth outlook.

Macro has largely taken over the investment case for Airbnb and we do expect there are some slightly softer trends for Q1 (Global Hotels & OTAs: A February to forget?). However, the summer release is expected to offer a catalyst that changes the narrative, the first meaningful new revenue stream at Airbnb since longer-term stays. Experiences alone could add 1% to topline growth, other verticals could double the impact - all helping to show Airbnb has better optionality & growth potential than peers. The expected 1Q miss means the most obvious investment strategy would be caution into the 1Q print (expected on May 7) and then strongly buy any weakness into the 13 May product release."

For an analyst ratings summary and ratings history on Airbnb Inc. click here. For more ratings news on Airbnb Inc. click here.

Shares of Airbnb Inc. closed at $113.97 yesterday.

You May Also Be Interested In

• Bernstein SocGen Group Starts Terawulf Inc. (WULF) at Outperform
• Tilly's, Inc. (TLYS) Tops Q1 EPS by 44c ; offer guidance
• After-Hours Stock Movers: AVGO, CRWD, FIVE, AI, TLYS, NTSK,