Airbnb loses bull rating at KeyBanc with bookings growth expected to moderate
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KeyBanc Capital Markets lowered Airbnb (NASDAQ:ABNB) on Tuesday to a Sector Weight rating after having it lined up at Overweight.
The firm warned Airbnb's (ABNB) margins have reached a near-term peak and revenue growth could decelerate to 11% year-over-year in 2024 as room night and ADR growth moderates. Analyst Justin Patterson set 2024 and 2025 EBIDTA estimates on Airbnb (ABNB) well below the consensus marks to reflect the expectation for more modest bookings growth.
KeyBanc sees an overhang on Airbnb (ABNB) shares as the stock transitions from a growth to growth at a reasonable price investor base. The online travel company is not expected to report Q3 earnings until the first week of November. Analysts have been pushing up their estimates on ABNB for Q3, with 21 of the last 23 EPS revisions for the quarter being to the upward side. Of note, Airbnb (ABNB) has topped EPS expectations in nine straight quarters.
Shares of Airbnb (ABNB) fell 2.62% in premarket trading on Tuesday to $132.98 vs. the 52-week trading range of $81.91 to $154.95.

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