November 11, 2024

Wide angle shot of man drinking coffee and working on laptop while partner relaxing in hammock on deck of luxury tropical beach villa at sunrise

Thomas Barwick

Airbnb (NASDAQ: ABNB) has the potential to further develop niche markets in the online travel sector.By focusing on unique experiences and leveraging its balance sheet to invest in AI-assisted travel bookings, I believe it can take advantage

Airbnb Booking Holdings Expedia.com
Market value $101.14B $120.35B $17.81B
5-year average revenue growth rate (“YoY”) 29.92% 17.01% 11.87%
EPS GAAP Growth (“FWD”) 21.09% 37.55% 75.98%
equity asset ratio 0.4 -0.11 0.07

Airbnb Booking Holdings Expedia.com
GAAP Price to Earnings Ratio (“FWD”) 36.72 20.81 14.1
3-year EPS CAGR consensus estimate (December 2024-December 2027) 16.06% 13.39% 19.78%
My 10-year growth stage EPS CAGR forecast 17.5% 15% 15%
My end-of-10 EPS CAGR forecast (consistent with typical U.S. annual inflation) 4% 4% 4%
My discount rate (my low-end annual expected total portfolio return) 10% 10% 10%
My fair value estimate $191.3 $3,340.62 USD $194.4
Current stock price $161.94 $3,609.33 $131.75
Indicates margin of safety 15.35% -8.04% 32.23%