Booking.com gains ground in tours market, outpacing rivals

Investing.com - Booking Holdings Inc. (NASDAQ:BKNG) has significantly expanded its tours, attractions, and experiences (TAE) inventory over the past seven months, according to a new report from DA Davidson released Wednesday.

The company’s bookable TAE listings grew by 28% since mid-November, outpacing all competing platforms by a substantial margin, the investment firm noted in its OTA TAE tracker. Booking.com’s inventory has now reached approximately 84% of Viator’s total available listings.

DA Davidson highlighted this rapid inventory expansion as the "most interesting take-away" from its data, suggesting Booking Holdings continues to prioritize growth in the experiences segment of the travel market.

The report also addressed Airbnb Inc . (NASDAQ:ABNB), noting its renewed focus on experiences could serve as "an important catalyst for overall TAA category TAM expansion more broadly." The firm compared this potential to Airbnb’s impact on accommodations, where the platform enabled "an entirely new class of online bookable lodging inventory."

DA Davidson suggested Airbnb could play a similar transformative role in the tours and attractions sector, with industry growth potentially coming not just from existing vendors moving online but also from "an entirely new generation of TAA vendors launching their businesses first on ABNB."

In other recent news, Airbnb Inc. reported several significant developments. Bernstein SocGen Group reiterated its Outperform rating on Airbnb, maintaining a price target of $165.00. This rating is supported by Airbnb’s higher free cash flow conversion and a slightly higher growth outlook compared to competitors. Meanwhile, Truist Securities downgraded Airbnb’s stock from Hold to Sell, adjusting the price target to $106.00, citing concerns over the company’s earnings potential relative to its market valuation. Truist’s analysis includes revised estimates for Airbnb’s adjusted EBITDA and earnings per share for 2025 and 2026.

In legal matters, Airbnb is facing a lawsuit over alleged omissions in its 2025 proxy statement, filed by the Heritage Foundation and American Conservative Values ETF. The company disputes these claims and is open to engaging with shareholders to address their proposals in future meetings. Additionally, BTIG maintained a Neutral rating on Airbnb, noting a slowdown in performance indicators compared to its peers, such as Booking Holdings and Expedia (NASDAQ:EXPE) Group, which are experiencing positive momentum.

Bernstein analysts also reaffirmed their positive outlook on Airbnb with a reiterated Outperform rating and a $185.00 price target, highlighting the company’s strategic focus on growth and AI investment. Airbnb’s CFO emphasized plans to enhance customer service and expand in core markets, with efforts to address gaps in brand awareness and booking share. These recent developments reflect a mix of optimism and caution among analysts and investors, with Airbnb’s strategic initiatives and legal challenges being closely monitored.

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