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With a market cap of $67.3 billion, Airbnb, Inc. (ABNB) operates a global platform for stays and experiences. Based in San Francisco, California, the company enables hosts and guests to connect online or through mobile devices to book spaces and experiences.
The company is expected to release its Q1 2025 earnings after the market closes on Thursday, May 1. Ahead of this event, analysts expect Airbnb to post adjusted earnings of $0.25 per share, down 39% from $0.41 per share reported in the same quarter last year. The company has surpassed Street's bottom-line estimates in two of the past four quarters, while it fell short of expectations on two other occasions.
For fiscal 2025, analysts forecast ABNB to report an adjusted EPS of $4.23, an increase of 2.9% from $4.11 reported in fiscal 2024. Moreover, in fiscal 2026, its earnings are expected to grow 15.6% year-over-year to $4.89 per share.
Shares of ABNB have crumbled 24.9% over the past 52 weeks, significantly lagging behind the S&P 500 Index’s ($SPX) 9.4% gain and the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 13.3% returns during the same period.
ABNB stock rose 14.5% the following day after the release of its better-than-expected Q4 2024 results on Feb. 13. The company reported revenue of $2.5 billion, up 13.6% year-over-year, driven by solid growth in nights stayed and a modest increase in the Average Daily Rate (ADR). Adjusted EBITDA came in at $765 million, reflecting a 3.7% increase from the prior-year quarter.
Analysts' consensus view on ABNB is cautious, with a "Hold" rating overall. Out of 39 analysts covering the stock, opinions include 11 "Strong Buys," one “Moderate Buy,” 22 "Holds,” one “Moderate Sell,” and four “Strong Sells.” Its mean price target of $151.41 represents a 23.6% premium to current price levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
