Airbnb (NASDAQ:ABNB) was cut to Accumulate from Buy with a new stock price target of $152, up from $143 at PhillipCapital on Thursday.
Following the company's latest earnings release, analysts at the firm explained that ABNB's first half of 2023 revenue/PATMI was within expectations, noting that there was seasonality weakness.
"In 2Q23, PATMI rose 71% YoY to US$650mn. We expect Airbnb to demonstrate strong profit growth in 2H23e supported by busy summer travel and higher operating leverage," the firm wrote said in a note.
Airbnb shares are up more than 57% this year, and Phillip said the recent jump in the shares was a reason for the downgrade.
Despite the rating cut, PhillipCapital believes "Airbnb is well-positioned to benefit from shift towards alternative accommodations as it offers record levels of active listings on its platform, benefits from travelers looking for long-term stays, and is more family and group travel-friendly."