Airbnb Valuation

Is ABNB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ABNB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ABNB ($135.7) is trading below our estimate of fair value ($161.96)

Significantly Below Fair Value: ABNB is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for ABNB?

Key metric: As ABNB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ABNB. This is calculated by dividing ABNB's market cap by their current earnings.
What is ABNB's PE Ratio?
PE Ratio46.7x
EarningsUS$1.84b
Market CapUS$85.81b

Price to Earnings Ratio vs Peers

How does ABNB's PE Ratio compare to its peers?

The above table shows the PE ratio for ABNB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.4x
MAR Marriott International
28.5x8.4%US$79.0b
HLT Hilton Worldwide Holdings
52.4x17.6%US$61.7b
BKNG Booking Holdings
34x14.1%US$171.3b
TCOM Trip.com Group
18.5x9.0%US$41.4b
ABNB Airbnb
46.7x17.9%US$85.8b

Price-To-Earnings vs Peers: ABNB is expensive based on its Price-To-Earnings Ratio (46.7x) compared to the peer average (33.4x).


Price to Earnings Ratio vs Industry

How does ABNB's PE Ratio compare vs other companies in the South American Hospitality Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ABNB 46.7xIndustry Avg. 17.1xNo. of Companies3PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ABNB is expensive based on its Price-To-Earnings Ratio (46.7x) compared to the South American Hospitality industry average (17.1x).


Price to Earnings Ratio vs Fair Ratio

What is ABNB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ABNB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio46.7x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ABNB's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ABNB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$135.70
US$137.37
+1.2%
16.4%US$195.00US$85.00n/a36
Nov ’25US$135.70
US$129.46
-4.6%
16.9%US$195.00US$80.00n/a36
Oct ’25US$115.00
US$126.81
+10.3%
17.7%US$195.00US$80.00n/a35
Sep ’25US$147.50
US$130.35
-11.6%
19.3%US$195.00US$80.00n/a33
Aug ’25US$147.50
US$153.04
+3.8%
16.3%US$200.00US$80.00n/a35
Jul ’25US$147.50
US$152.84
+3.6%
16.5%US$200.00US$80.00n/a35
Jun ’25US$147.50
US$152.84
+3.6%
16.5%US$200.00US$80.00n/a35
May ’25n/a
US$152.18
0%
17.5%US$200.00US$80.00n/a35
Apr ’25n/a
US$147.70
0%
15.9%US$195.00US$80.00n/a35
Mar ’25n/a
US$144.63
0%
15.7%US$185.00US$80.00n/a35
Feb ’25n/a
US$139.22
0%
16.7%US$185.00US$75.00n/a34
Jan ’25n/a
US$136.14
0%
17.3%US$185.00US$75.00n/a34
Dec ’24n/a
US$135.28
0%
16.2%US$185.00US$75.00n/a34
Nov ’24n/a
US$141.84
0%
16.1%US$185.00US$75.00US$135.7034
Oct ’24n/a
US$143.99
0%
15.5%US$185.00US$75.00US$115.0035
Sep ’24n/a
US$144.50
0%
15.7%US$185.00US$75.00US$147.5036
Aug ’24n/a
US$136.81
0%
17.1%US$185.00US$97.00US$147.5036
Jul ’24n/a
US$129.56
0%
16.0%US$185.00US$95.00US$147.5034
Jun ’24n/a
US$130.31
0%
15.8%US$185.00US$95.00US$147.5032
May ’24n/a
US$141.64
0%
14.4%US$190.00US$98.00n/a33
Apr ’24n/a
US$142.03
0%
14.5%US$190.00US$98.00n/a34
Mar ’24n/a
US$141.29
0%
13.8%US$190.00US$98.00n/a34
Feb ’24n/a
US$126.59
0%
18.1%US$180.00US$80.00n/a34
Jan ’24n/a
US$130.21
0%
17.9%US$180.00US$80.00n/a34
Dec ’23n/a
US$131.48
0%
16.8%US$180.00US$98.00n/a33
Nov ’23n/a
US$138.51
0%
19.0%US$201.90US$100.00n/a33

Analyst Forecast: Target price is less than 20% higher than the current share price.


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