Airbnb Stock Fair Value Calculation – Airbnb Offers Unprecedented Value: 17x Forward Free Cash Flow
December 12, 2023
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Airbnb ($NASDAQ:ABNB) offers unprecedented value in its cash advance services. With Airbnb, you can save more than 17x more money than using other cash advance services! This makes Airbnb a great option for those looking to give their finances a boost, as it provides an easy and cost-effective way to access extra funds. Airbnb is a world-renowned hospitality and travel platform. Airbnb connects people from all over the world, offering access to an incredible range of unique homes, experiences, and places to stay.
Airbnb has had an impressive year, with its stock price soaring to new heights. This is an incredibly attractive value proposition for investors, providing a tremendous return on investment and further cementing Airbnb’s status as a valued player in the hospitality and travel industry. In conclusion, Airbnb offers an incredibly attractive value proposition with its cash advance services.
Market Price
On Monday, AIRBNB stock opened at $141.4 and closed at $142.9, up by 1.6% from prior closing price of 140.7. This surge in stock price is indicative of the unprecedented value AIRBNB currently offers. The company has a forward free cash flow of 17x, which is one of the highest in the market for a technology company.
This remarkable growth in the company’s valuation is due to its business model, which combines hospitality with technology to provide innovative hospitality services. Moreover, the company is well-positioned to benefit from the current travel boom due to its strong network of hosts and customers as well as its diversified offering of services. Airbnb_Offers_Unprecedented_Value_17x_Forward_Free_Cash_Flow”>Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Airbnb. More…
| Total Revenues | Net Income | Net Margin |
| 9.6k | 5.46k | 56.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Airbnb. More…
| Operations | Investing | Financing |
| 4.28k | -710 | -2.02k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Airbnb. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 21.44k | 12.32k | 14.27 |
Key Ratios Snapshot
Some of the financial key ratios for Airbnb are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 38.3% | 207.0% | 29.6% |
| FCF Margin | ROE | ROA |
| 44.2% | 25.1% | 8.3% |
Analysis – Airbnb Stock Fair Value Calculation
At GoodWhale, we have conducted an analysis of AIRBNB’s financials. Our proprietary Valuation Line has calculated the intrinsic value of a share of AIRBNB at around $208.5. At the current market value of $142.9, this implies that the share is currently undervalued by 31.5%. Airbnb_Offers_Unprecedented_Value_17x_Forward_Free_Cash_Flow”>More…
Peers
Airbnb Inc is an American online marketplace that connects people who need a place to stay with people who need to rent out extra space. Its competitors are Booking Holdings Inc, Expedia Group Inc, Marriott International Inc.
– Booking Holdings Inc ($NASDAQ:BKNG)
Booking Holdings Inc. is a global technology platform for the travel and tourism industry. The company connects travelers with the world’s largest selection of travel options, including flights, hotels, cars, tours, and activities. The company also operates a number of travel websites, including Booking.com, Kayak.com, and OpenTable.com.
Booking Holdings Inc. has a market cap of $74.23 billion as of 2022. The company has a return on equity of 35.49%. Booking Holdings Inc. operates a number of travel websites, including Booking.com, Kayak.com, and OpenTable.com. The company connects travelers with the world’s largest selection of travel options, including flights, hotels, cars, tours, and activities.
– Expedia Group Inc ($NASDAQ:EXPE)
Expedia Group Inc is a publicly traded company with a market capitalization of $14.73 billion as of 2022. The company has a return on equity of 28.99%. Expedia Group Inc is a global online travel company that operates a number of travel-related websites, including Expedia.com, Hotels.com, and Travelocity. The company also owns and operates a number of other travel-related businesses, including eLong and trivago.
– Marriott International Inc ($NASDAQ:MAR)
Marriott International Inc is a publicly traded company with a market capitalization of $51.96 billion as of 2022. The company operates in the hotel and lodging industry and has a portfolio of over 7,000 properties in more than 130 countries and territories. Marriott International Inc reported a return on equity of 90.72% for the year ended December 31, 2020.
Summary
Investing in Airbnb is a lucrative opportunity for investors due to the company’s strong financial performance. AirBnB boasts a 17x forward free cash flow multiple, which is lower than its peers in the hotel and hospitality industry. Additionally, Airbnb has grown its revenue significantly in recent years, making it an attractive opportunity for long-term investors. Furthermore, Airbnb is well-positioned to capitalize on the growing trend of vacation rentals and home sharing, as well as the increasing popularity of short-term rentals. Consequently, investors could stand to benefit from investing in Airbnb as the company continues to gain traction in the hospitality market.
