Bitcoin price today: gains to $120k, near record high on U.S. regulatory cheer
On Wednesday, Cantor Fitzgerald maintained an Underweight rating on Airbnb Inc . (NASDAQ:ABNB) with a price target of $117.00. The firm’s analyst, Deepak Mathivanan, highlighted Airbnb’s significant investments in new market expansion, which are anticipated to potentially accelerate revenue growth in the upcoming quarters. According to InvestingPro data, Airbnb maintains impressive gross profit margins of 83% and is currently trading at $131.05, slightly below its Fair Value, with its next earnings report scheduled for February 18, 2025. Despite these efforts, Airbnb’s shares have lagged behind its online travel agency peers, Booking Holdings Inc. (NASDAQ:BKNG) and Expedia Group Inc. (NASDAQ:EXPE), by 35 percentage points in 2024, leading to mixed investor sentiment in 2025. InvestingPro analysis reveals that while the company holds more cash than debt on its balance sheet and maintains strong liquidity ratios, it’s currently trading at relatively high earnings and EBITDA multiples. For deeper insights into Airbnb’s valuation metrics and peer comparison, subscribers can access the comprehensive Pro Research Report, available exclusively on InvestingPro.
Mathivanan noted that any indication of revenue reacceleration would be positively received following a margin reset. The analyst’s commentary suggests a cautious stance ahead of Airbnb’s fourth-quarter earnings for 2024, while also expressing an openness to reassessing the growth outlook based on future performance indicators.
The revised price target of $117, down from the previous $122, reflects a careful approach as Cantor Fitzgerald awaits signs of improvement in Airbnb’s growth trajectory. The firm’s position indicates a wait-and-see attitude, emphasizing the importance of upcoming financial results and market expansion progress in reassessing the stock’s potential.
Airbnb’s strategic focus on expanding into new markets is a critical factor in its long-term growth prospects. The investments mentioned by the analyst are substantial, representing approximately 350 to 400 basis points, and are central to the company’s efforts to reinvigorate its revenue growth.
Investors and market watchers will be keenly observing Airbnb’s upcoming earnings report and any updates on its market expansion strategies. The performance of Airbnb’s shares relative to its peers and the overall market sentiment will continue to be of interest as the company navigates through its investment phase and strives to achieve a stronger growth trajectory. With revenue growth forecast at 11% and a market capitalization of $81.88 billion, InvestingPro subscribers have access to 12 additional ProTips and extensive financial metrics to make more informed investment decisions.
In other recent news, Airbnb is facing an investigation in Spain due to its failure to remove thousands of unregulated rental listings. The probe is part of a broader crackdown against vacation rentals facilitated by platforms like Airbnb that are blamed for housing shortages and escalating real estate prices. Meanwhile, the company has had its stock price target slightly lowered by Truist Securities, maintaining a Hold rating. Analysts at DA Davidson also increased their price target for Airbnb, prompted by a strong 2025 forecast. However, PhillipCapital downgraded Airbnb’s stock to Reduce citing concerns about the company’s valuation premium.
Booking Holdings, on the other hand, reports that inflation is still affecting US travel plans, with American consumers delaying their vacation planning. The company’s CFO, Ewout Steenbergen, noted this trend as an indicator of consumer sentiment, with people waiting longer to book trips due to economic concerns. Despite these patterns, Steenbergen remains optimistic about the future of the US travel market.
These are recent developments for both Airbnb and Booking Holdings.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.