Airbnb: We're Obsessed With This Profitable, Growing Travel Juggernaut
Summary
- Airbnb's asset-light, high-margin business model and strong financials - including $10B in cash and 24% net margins - make it a compelling long-term investment.
- Despite a recent growth slowdown, Airbnb's strategic focus on core services, global expansion, and new offerings positions it for continued revenue growth and market share gains.
- At 7x sales and 18x free cash flow, Airbnb shares are attractively priced, offering potential for significant compounded returns as the company scales.
- We rate ABNB stock a 'Strong Buy'.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of ABNB either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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