Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - Citizens JMP analyst Nicholas Jones reiterated a Market Perform rating on Airbnb Inc . (NASDAQ:ABNB) following the company’s second-quarter 2025 earnings report. The company, which maintains impressive gross profit margins of 83.2%, has seen its stock decline by 7.6% over the past week.
Airbnb reported second-quarter results earlier this week that exceeded analyst expectations, with gross booking value (GBV) and revenue coming in 4% and 2% above consensus estimates respectively. The company’s EBITDA also outperformed, exceeding expectations by 7%. According to InvestingPro data, eight analysts have recently revised their earnings estimates upward for the upcoming period, suggesting growing confidence in the company’s prospects.
Despite the strong quarterly performance, Airbnb’s guidance for the third quarter of 2025 was merely in line with consensus estimates. The company indicated that while travel trends have remained robust into early third quarter, it expects growth to slow in the coming months as it faces more difficult year-over-year comparisons later in the quarter and into the fourth quarter. InvestingPro analysis suggests the stock is currently trading below its Fair Value, with additional insights available in the comprehensive Pro Research Report, which covers over 1,400 US stocks.
Citizens JMP acknowledged Airbnb’s position as "the clear leader in alternative accommodations" with a "best-in-class user experience for both guests and hosts." However, the firm noted that with North America room night growth slowing to low-single digits, Airbnb is increasingly dependent on international markets to maintain growth momentum.
The research firm is waiting for "greater evidence that its new Services and Experiences offerings can meaningfully impact results" before becoming more positive on the stock, concluding that "the risk/reward in shares is balanced at current levels."
In other recent news, Airbnb has experienced a series of updates from various analyst firms. PhillipCapital upgraded Airbnb’s stock rating from Reduce to Neutral, setting a new price target of $127.00. This upgrade was influenced by the recent price performance, although revenue estimates for fiscal year 2025 remain unchanged. TD Cowen raised its price target to $150.00, maintaining a Buy rating, after Airbnb’s second-quarter performance exceeded expectations with a 7.4% increase in nights booked. Benchmark reiterated its Buy rating with a $155.00 price target, noting that Airbnb’s growth in nights and seats was sufficient to meet market expectations. On the other hand, Cantor Fitzgerald lowered its price target to $110.00, citing growth concerns while maintaining an Underweight rating. JPMorgan increased its price target to $130.00, describing Airbnb’s second-quarter results as in line with investor expectations and highlighting progress in expanding beyond its core business. These developments reflect varied analyst perspectives on Airbnb’s recent performance and future outlook.
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