Analysts rate Airbnb Inc. (ABNB:NSD) with a Buy rating and a $140 target

Sanford Bernstein initiated ABNB stock forecast with an outperform rating.

Based on the ABNB Stock Forecast from 27 analysts, the average analyst ABNB stock price target is USD 140.83 over the next 12 months. Airbnb Inc’s average analyst rating is Buy. Stock Target Advisor’s own stock analysis of ABNB stock forecast is Neutral, which is based on 8 positive signals and 7 negative signals. At the last closing, Airbnb stock price was USD 110.81Airbnb stock price has changed by +4.44% over the past week, -2.83% over the past month and -32.74% over the last year.

 

About Airbnb Inc. (ABNB:NSD):

Airbnb, Inc., together with its subsidiaries, operates a platform that enables hosts to offer stays and experiences to guests worldwide. The company’s marketplace model connects hosts and guests online or through mobile devices to book spaces and experiences. It primarily offers private rooms, primary homes, or vacation homes. The company was formerly known as AirBed & Breakfast, Inc. and changed its name to Airbnb, Inc. in November 2010. Airbnb, Inc. was founded in 2007 and is headquartered in San Francisco, California.

 

What we like:

High market capitalization:

ABNB stock forecast shows that this is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility:

ABNB stock forecast shows that the stock’s annual returns have been stable and consistent compared to its sector peers (for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior return on equity:

ABNB stock forecast shows that the company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization:

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets:

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow:

ABNB stock forecast shows that the company had positive total cash flow in the most recent four quarters.

Positive free cash flow:

ABNB stock forecast shows that the company had positive total free cash flow in the most recent four quarters.

High Gross Profit to Asset Ratio:

ABNB stock forecast shows that this stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

 

What we don’t like:

Poor risk adjusted returns:

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns, the returns are unpredictable. Proceed with caution.

Below median dividend returns:

ABNB stock forecast shows that the company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to earnings:

ABNB stock price target is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value:

ABNB stock price target is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis:

ABNB stock price target is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged:

ABNB stock forecast shows that the company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the market news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis:

ABNB stock price target is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.