Airbnb, Inc. (NASDAQ:ABNB), the vacation rental platform with an $85.9 billion market cap and impressive 83% gross profit margins, saw CEO and Chairman Brian Chesky recently sell a portion of his holdings in the company, according to a Form 4 filing with the Securities and Exchange Commission. According to InvestingPro, the company maintains a "GREAT" financial health score. On December 11, Chesky sold 2,009 shares of Class A Common Stock at a weighted average price of $140.0296, totaling $281,319. This transaction was executed under a Rule 10b5-1 trading plan adopted on August 22, 2024. The sale price aligns closely with InvestingPro's Fair Value calculation, though the stock currently trades at relatively high earnings and EBITDA multiples.
Following this sale, Chesky retains direct ownership of 12,575,830 shares. Additionally, he holds indirect ownership of 16,800 shares through a 2019 Trust and 114,354 shares through the 2016 Legacy Trust B. For deeper insights into Airbnb's valuation metrics and 13 additional ProTips, check out the comprehensive Pro Research Report available on InvestingPro.
In other recent news, Airbnb has been the subject of various analyst adjustments. Truist Securities slightly lowered its price target for the company to $123, maintaining a Hold rating. This came alongside a minor adjustment in the company's projected EBITDA for 2024 and 2025. Despite the downgrade, Airbnb's financial health remains strong, with an impressive gross profit margin of 83.07%.
On the other hand, DA Davidson increased Airbnb's stock price target to $131, reflecting a broader re-rating in the large-cap technology sector. This adjustment was influenced by Airbnb's third quarter of 2024 results, which exceeded expectations, showing a 10% year-over-year increase in revenues.
However, PhillipCapital downgraded Airbnb's stock from Neutral to Reduce, citing concerns about the company's valuation premium. Despite this, the firm slightly increased its revenue and adjusted profit estimates for the fiscal year 2024 by 1%.
Evercore ISI maintained its "In Line" rating for Airbnb, based on positive October data from AirDNA, a short-term rental analytics company. Susquehanna also maintained a Positive rating on Airbnb, raising its price target to $160 from the previous $130. These adjustments reflect recent developments for the company.
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