Business Maverick: Airbnb’s $24 Billion Gain Fails to Dissuade Bears

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With earnings and its stock in the ascent, Airbnb Inc. has made a stellar start to 2023. Yet not all analysts are buying it.

The home-rental company’s five sell or equivalent recommendations are the most of any Nasdaq 100 company after Intel Corp., Tesla Inc. and Cognizant Technology Solutions Corp. What’s more, the percentage of sell ratings is the highest in more than two years at almost 12%, according to data compiled by Bloomberg.Results this month

That view is shared by Morgan Stanley analyst Brian Nowak, who this month retained an underweight stance on the shares, even after boosting his price target by 25% to reflect increased earnings estimates. The stock is “already priced for even faster growth,” he wrote in a report. And while the company has been driving profitability by cutting costs, analysts are concerned that a slowdown in the number of nights booked and headwinds on average daily rates may pressure sales growth and margins this year.

 

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