Airbnb (NASDAQ:ABNB) Stock Price Down 5.8% – Here’s What Happened

Shares of Airbnb, Inc. (NASDAQ:ABNB) dropped 5.8% during trading on Wednesday . The stock traded as low as $132.13 and last traded at $131.8890. Approximately 1,826,368 shares traded hands during trading, a decline of 49% from the average daily volume of 3,574,700 shares. The stock had previously closed at $140.07.

Analyst Ratings Changes

ABNB has been the subject of several analyst reports. Sanford C. Bernstein cut their price target on shares of Airbnb from $165.00 to $162.00 and set an “outperform” rating for the company in a research report on Tuesday, January 6th. KeyCorp began coverage on Airbnb in a research note on Thursday, October 23rd. They issued a “sector weight” rating for the company. Wells Fargo & Company set a $128.00 price target on Airbnb and gave the stock an “equal weight” rating in a research report on Friday, January 9th. BNP Paribas Exane assumed coverage on Airbnb in a research note on Monday, November 24th. They issued a “neutral” rating on the stock. Finally, Royal Bank Of Canada reiterated an “outperform” rating on shares of Airbnb in a research report on Wednesday. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, twenty-one have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Airbnb presently has a consensus rating of “Hold” and an average price target of $147.84.

Airbnb Trading Down 6.8%

The firm has a market cap of $80.40 billion, a PE ratio of 31.04, a PEG ratio of 2.15 and a beta of 1.09. The firm has a fifty day simple moving average of $127.16 and a two-hundred day simple moving average of $127.73.

Airbnb (NASDAQ:ABNB) last announced its earnings results on Thursday, November 6th. The company reported $2.21 EPS for the quarter, missing analysts’ consensus estimates of $2.31 by ($0.10). Airbnb had a net margin of 22.03% and a return on equity of 32.14%. The business had revenue of $4.10 billion for the quarter, compared to the consensus estimate of $4.08 billion. During the same quarter in the prior year, the company earned $2.13 EPS. Airbnb’s revenue was up 9.9% compared to the same quarter last year. Equities analysts expect that Airbnb, Inc. will post 4.31 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Airbnb news, CEO Brian Chesky sold 51,230 shares of the company’s stock in a transaction that occurred on Monday, December 15th. The stock was sold at an average price of $131.16, for a total transaction of $6,719,326.80. Following the transaction, the chief executive officer owned 45,854 shares in the company, valued at approximately $6,014,210.64. This represents a 52.77% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Joseph Gebbia sold 236,000 shares of the firm’s stock in a transaction that occurred on Monday, October 27th. The shares were sold at an average price of $128.47, for a total value of $30,318,920.00. Following the completion of the transaction, the director owned 468,015 shares of the company’s stock, valued at approximately $60,125,887.05. The trade was a 33.52% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 1,343,756 shares of company stock valued at $165,409,819 over the last three months. Corporate insiders own 27.83% of the company’s stock.

Institutional Investors Weigh In On Airbnb

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ABNB. Caxton Associates LLP bought a new position in shares of Airbnb in the 1st quarter worth about $258,000. Intech Investment Management LLC grew its holdings in Airbnb by 55.8% in the first quarter. Intech Investment Management LLC now owns 12,161 shares of the company’s stock worth $1,453,000 after purchasing an additional 4,353 shares during the period. Everpar Advisors LLC bought a new position in shares of Airbnb during the second quarter valued at approximately $221,000. MassMutual Private Wealth & Trust FSB lifted its holdings in shares of Airbnb by 17.9% during the second quarter. MassMutual Private Wealth & Trust FSB now owns 1,415 shares of the company’s stock valued at $187,000 after purchasing an additional 215 shares during the last quarter. Finally, Livforsakringsbolaget Skandia Omsesidigt lifted its holdings in shares of Airbnb by 4.6% during the second quarter. Livforsakringsbolaget Skandia Omsesidigt now owns 18,103 shares of the company’s stock valued at $2,395,000 after purchasing an additional 800 shares during the last quarter. 80.76% of the stock is owned by hedge funds and other institutional investors.

Airbnb Company Profile

Airbnb, Inc (NASDAQ: ABNB) operates a global online marketplace that connects travelers with hosts offering short-term lodging, unique accommodations and related travel experiences. The company’s core platform enables individuals and professional property managers to list private homes, apartments, single rooms and entire properties, while providing search, booking and payment processing for guests. Airbnb earns revenue primarily through service fees charged to guests and hosts and offers tools to facilitate reservations, communications, and logistics between parties.

Beyond accommodations, Airbnb has expanded its product portfolio to include curated experiences led by local hosts, higher-end offerings such as Airbnb Luxe, and programs aimed at enhancing quality and safety like Airbnb Plus.