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Airbnb, Inc. (ABNB) Falls More Steeply Than Broader Market: What Investors Need to Know

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Airbnb, Inc. (ABNB - Free Report) closed the most recent trading day at $136.84, moving -3.74% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.3%. Meanwhile, the Dow lost 0.46%, and the Nasdaq, a tech-heavy index, lost 0.38%.

Prior to today's trading, shares of the company had gained 7.42% outpaced the Consumer Discretionary sector's loss of 1.35% and the S&P 500's gain of 3.64%.

Analysts and investors alike will be keeping a close eye on the performance of Airbnb, Inc. in its upcoming earnings disclosure. The company's earnings report is set to go public on August 6, 2025. The company is predicted to post an EPS of $0.93, indicating a 8.14% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.03 billion, indicating a 10.25% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates project earnings of $4.19 per share and a revenue of $12.04 billion, demonstrating changes of +1.95% and +8.47%, respectively, from the preceding year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Airbnb, Inc. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.42% higher. At present, Airbnb, Inc. boasts a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Airbnb, Inc. has a Forward P/E ratio of 33.9 right now. This signifies a premium in comparison to the average Forward P/E of 22.6 for its industry.

We can additionally observe that ABNB currently boasts a PEG ratio of 2.65. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Leisure and Recreation Services industry stood at 1.82 at the close of the market yesterday.

The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 180, finds itself in the bottom 28% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 follow all of these stock-moving metrics, and many more, on Zacks.com.


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