Airbnb Analysts Slash Price Targets Amid Unprecedented Decline - Will The Company Ever Recover?

Airbnb (NASDAQ:ABNB) has been put under the microscope by 26 analysts over the past three months, with their recent ratings and price targets revealing a wildly diverse range of perspectives, from the bullish to the bearish.

The analysts' ratings have been anything but consistent, with a total of 4 classifications: Bullish, Somewhat Bullish, Somewhat Bearish, and Bearish. The ratings provided in the past 30 days, 1 month ago, 2 months ago, and 3 months ago have shown fluctuations in the analysts' confidence in Airbnb.

A deeper dive into the analysts' predictions reveals a significant decrease in the 12-month price target average, which now stands at $129.62, a high estimate of $190.00, and a low estimate of $90.00. This represents a 13.91% decline from the previous average price target of $150.56.

To better understand the financial experts' evolving perspectives on Airbnb, we will explore the recent analyst actions in this article.

Key Analysts and Their Recent Evaluations

The following is a summary of key analysts, their recent actions, ratings, and price target adjustments.

• James Lee from Mizuho lowered his rating to Outperform while reducing his price target from $175.00 to $170.00.
• Deepak Mathivanan from Cantor Fitzgerald announced an Underweight rating with a price target of $94.00.
• John Colantuoni from Jefferies lowered his rating to Hold while decreasing his price target from $125.00 to $120.00.
• Patrick Scholes from Truist Securities lowered his rating to Hold while reducing his price target from $134.00 to $124.00.
• Daniel Kurnos from Benchmark maintained his Buy rating while keeping his price target at $155.00.
• Tom White from DA Davidson lowered his rating to Neutral while decreasing his price target from $145.00 to $125.00.
• Eric Sheridan from Goldman Sachs lowered his rating to Sell while reducing his price target from $130.00 to $111.00.
• Kevin Kopelman from TD Cowen lowered his rating to Buy while decreasing his price target from $170.00 to $125.00.
• Daniel Kurnos from Benchmark lowered his rating to Buy while reducing his price target from $190.00 to $155.00.
• Doug Anmuth from JP Morgan lowered his rating to Neutral while decreasing his price target from $145.00 to $121.00.
• Lee Horowitz from Deutsche Bank lowered his rating to Hold while reducing his price target from $143.00 to $90.00.
• Justin Post from B of A Securities lowered his rating to Neutral while decreasing his price target from $160.00 to $132.00.
• Naved Khan from B. Riley Securities lowered his rating to Neutral while reducing his price target from $150.00 to $140.00.
• Mario Lu from Barclays lowered his rating to Underweight while decreasing his price target from $110.00 to $100.00.
• Stephen Ju from UBS lowered his rating to Neutral while reducing his price target from $160.00 to $134.00.
• Colin Sebastian from Baird lowered his rating to Neutral while decreasing his price target from $140.00 to $120.00.
• Brad Erickson from RBC Capital lowered his rating to Sector Perform while reducing his price target from $150.00 to $120.00.
• Scott Devitt from Wedbush lowered his rating to Outperform while decreasing his price target from $165.00 to $135.00.
• Brian Pitz from BMO Capital lowered his rating to Market Perform while reducing his price target from $151.00 to $130.00.
• Ken Gawrelski from Wells Fargo lowered his rating to Underweight while decreasing his price target from $129.00 to $100.00.
• Thomas Champion from Piper Sandler lowered his rating to Neutral while reducing his price target from $155.00 to $125.00.
• Shyam Patil from Susquehanna lowered his rating to Positive while decreasing his price target from $180.00 to $130.00.
• Scott Devitt from Wedbush maintained his Outperform rating while keeping his price target at $165.00.
• Brian Nowak from Morgan Stanley raised his rating to Underweight while increasing his price target from $120.00 to $130.00.
• Daniel Kurnos from Benchmark maintained his Buy rating while keeping his price target at $190.00.
• Ken Gawrelski from Wells Fargo raised his rating to Underweight while increasing his price target from $127.00 to $129.00.

What's Behind the Analysts' Decreasing Confidence in Airbnb?

Despite the varying perspectives, it is evident that financial experts have become less optimistic about Airbnb's future. As investors, it is crucial to understand the driving forces behind this decrease in confidence.

The decline in the average 12-month price target, coupled with the reduced price targets from several key analysts, suggests that the analysts' confidence in Airbnb has indeed wavered. However, it remains to be seen whether the company can recover and regain the analysts' trust.

Conclusion

The diverse range of analyst ratings and price targets demonstrates the ongoing uncertainty surrounding Airbnb's future. While some analysts remain optimistic, others have drastically reduced their price targets. As the situation unfolds, investors will need to closely monitor the company's actions and progress to determine whether Airbnb can ultimately recover and regain its footing in the competitive market.