Airbnb Inc $ABNB - A Valuation on 28th July 2021
Airbnb has disrupted the hotel and vacation rental industry. They weathered the pandemic better than the competition and are looking for a strong recovery. Legal uncertainty is still a drag, though.
Summary
Airbnb continues to disrupt the hotel and vacation rental industry. Their flexible business model helped them weather the pandemic. From here, they will return to growth, albeit from a lower base, as they steal market share from hotels and the industry recovers. Economies of scale and brand awareness will continue to kick in and help pull fixed and advertising costs down in relative terms. Regulatory and legal uncertainty will continue to dog them and increase their chance of distress.
Market Price = $141.62
Estimated Value = $88.72
Price/Value = 159.6%
Monte-Carlo Price Percentile = 74%
Rating At Current PriceΒ = REDUCE