Airbnb, Inc. (ABNB) ended the recent trading session at $139.30, demonstrating a +1.89% change from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily gain of 0.54%. Elsewhere, the Dow saw an upswing of 0.52%, while the tech-heavy Nasdaq appreciated by 0.74%.
Prior to today's trading, shares of the company had gained 3.43% lagged the Consumer Discretionary sector's gain of 4.15% and the S&P 500's gain of 4.2%.
The investment community will be paying close attention to the earnings performance of Airbnb, Inc. in its upcoming release. The company is forecasted to report an EPS of $0.92, showcasing a 6.98% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $3.02 billion, indicating a 9.98% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.18 per share and revenue of $12.02 billion, indicating changes of +1.7% and +8.29%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Airbnb, Inc. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Airbnb, Inc. is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that Airbnb, Inc. has a Forward P/E ratio of 32.74 right now. This represents a premium compared to its industry average Forward P/E of 22.34.
We can additionally observe that ABNB currently boasts a PEG ratio of 2.56. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Leisure and Recreation Services industry had an average PEG ratio of 1.89 as trading concluded yesterday.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 91, this industry ranks in the top 37% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Airbnb, Inc. (ABNB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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