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Airbnb (ABNB) Stock Analysis

Here is a fundamental analysis of Airbnb (ABNB), benchmarking its profitability, financial strength, dividend and valuation against its industry group peers.

Performance

Cumulative Growth

ABNB
GSPC
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Airbnb (ABNB) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Airbnb (ABNB) and S&P 500 (GSPC). Returns over one year are annualized.

Performance at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
1-Year Return-4.70%1.05%

Risk

Drawdown

ABNB
GSPC
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Airbnb (ABNB) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
1-Year Volatility29.11%44.02%
Beta1.151.03

Company Profile

Company profile fields for Airbnb (ABNB)
Profile ItemABNB
NameAirbnb, Inc.
Country/RegionUnited States
GICS SectorConsumer Discretionary
GICS Industry GroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
GICS Sub-IndustryHotels, Resorts & Cruise Lines
Market Capitalization78.51 billion USD
CurrencyUSD
ExchangeNasdaq
Listing DateDecember 10, 2020
Security TypeCommon Stock

Valuation

Price-to-Earnings Ratio (TTM)

Airbnb (ABNB) trades at P/E ratio of 32.66, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

ABNB

Consumer Services industry group

32.66

Group distribution
Max
71.36
Q3
40.24
ABNB
32.66
Median
22.08
Q1
17.04
Min
3.87
Largest peers
SBUX
78.66
HLT
52.74
MAR
42.19
ABNB
32.66
MCD
23.48
BKNG
21.73
RCL
17.95
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Where Airbnb (ABNB) stands on P/E ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Sales Ratio (TTM)

Airbnb (ABNB) trades at 6.21 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.

ABNB

Consumer Services industry group

6.21

Group distribution
Max
6.59
ABNB
6.21
Q3
3.16
Median
1.68
Q1
0.87
Min
0.06
Largest peers
HLT
15.53
MAR
14.78
MCD
7.37
ABNB
6.21
BKNG
4.62
RCL
4.29
SBUX
3.05
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Where Airbnb (ABNB) stands on P/S ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Book Ratio (MRQ)

Airbnb (ABNB) trades at 10.31 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

ABNB

Consumer Services industry group

10.31

Group distribution
Max
13.42
ABNB
10.31
Q3
6.34
Median
2.54
Q1
1.07
Min
-5.84
Largest peers
ABNB
10.31
RCL
8.05
HLT
-13.38
SBUX
-13.87
BKNG
-14.75
MAR
-26.04
MCD
-157.35
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Where Airbnb (ABNB) stands on P/B ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Valuation at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
Price-to-Earnings Ratio (TTM)32.6622.08
Price-to-Sales Ratio (TTM)6.211.68
Price-to-Book Ratio (MRQ)10.312.54
Free Cash Flow Yield4.06%4.08%

Profitability

Return on Equity (TTM)

Airbnb (ABNB) posts ROE of 32.33%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

ABNB

Consumer Services industry group

32.33%

Group distribution
Max
52.89%
ABNB
32.33%
Q3
29.07%
Median
12.44%
Q1
3.56%
Min
-26.11%
Largest peers
RCL
49.58%
ABNB
32.33%
MCD
--
BKNG
--
SBUX
--
MAR
--
HLT
--
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Where Airbnb (ABNB) stands on ROE within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Net Profit Margin (TTM)

Airbnb (ABNB) keeps 19.90% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

ABNB

Consumer Services industry group

19.90%

Group distribution
Max
24.47%
ABNB
19.90%
Q3
12.35%
Median
6.13%
Q1
1.16%
Min
-15.48%
Largest peers
MAR
35.97%
MCD
31.62%
HLT
30.41%
RCL
24.36%
BKNG
22.23%
ABNB
19.90%
SBUX
3.89%
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Where Airbnb (ABNB) stands on net margin within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Operating Profit Margin (TTM)

Airbnb (ABNB) turns 3.21% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

ABNB

Consumer Services industry group

3.21%

Group distribution
Max
44.25%
Q3
20.10%
Median
11.37%
ABNB
3.21%
Q1
3.21%
Min
-20.31%
Largest peers
MAR
59.01%
HLT
57.36%
MCD
44.25%
RCL
26.17%
BKNG
25.04%
SBUX
8.42%
ABNB
3.21%
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Where Airbnb (ABNB) stands on operating margin within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Profitability at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
Return on Equity (TTM)32.33%12.44%
Return on Assets (TTM)6.25%5.05%
Net Profit Margin (TTM)19.90%6.13%
Operating Profit Margin (TTM)3.21%11.37%
Gross Profit Margin (TTM)82.91%44.16%

Financial Strength

Current Ratio (MRQ)

Airbnb (ABNB) has current ratio of 1.44, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.

ABNB

Consumer Services industry group

1.44

Group distribution
Max
3.05
Q3
1.72
ABNB
1.44
Median
0.99
Q1
0.69
Min
0.20
Largest peers
ABNB
1.44
MCD
1.14
BKNG
1.06
SBUX
0.92
HLT
0.61
MAR
0.46
RCL
0.20
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Where Airbnb (ABNB) stands on current ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Debt-to-Equity Ratio (MRQ)

Airbnb (ABNB) has debt-to-equity ratio of 0.33, in the lower-leverage quartile for its industry. Borrowing is modest relative to equity compared with most peers, which can leave more flexibility through a cycle.

ABNB

Consumer Services industry group

0.33

Group distribution
Max
7.23
Q3
3.20
Median
1.27
Q1
0.35
ABNB
0.33
Min
0.01
Largest peers
RCL
2.17
ABNB
0.33
MCD
--
BKNG
--
SBUX
--
MAR
--
HLT
--
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Where Airbnb (ABNB) stands on debt-to-equity ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
Current Ratio (MRQ)1.440.99
Debt-to-Equity Ratio (MRQ)0.331.27
Net Debt / EBITDA-3.623.48

Dividends

Dividend Yield (TTM)

Airbnb (ABNB) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.

ABNB

Consumer Services industry group

0.00%

Group distribution
Max
4.72%
Q3
1.94%
ABNB
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Largest peers
MCD
2.61%
SBUX
2.41%
RCL
1.70%
BKNG
0.97%
MAR
0.73%
HLT
0.17%
ABNB
0.00%
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Where Airbnb (ABNB) stands on dividend yield within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Airbnb (ABNB) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.

ABNB

Consumer Services industry group

0.00%

Group distribution
Max
86.96%
Q3
34.83%
ABNB
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Largest peers
SBUX
187.79%
MCD
59.85%
MAR
28.06%
RCL
25.93%
BKNG
20.73%
HLT
9.16%
ABNB
0.00%
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Where Airbnb (ABNB) stands on payout ratio within its Consumer Services peer group — the box is the group’s distribution and the dots its largest members.

Dividends at a Glance

Airbnb (ABNB) metric values compared with Consumer Services industry-group medians
MetricCurrent stock: ABNBIndustry group median
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%