Airbnb Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 ($135.25) is trading below our estimate of fair value ($210.63)

Significantly Below Fair Value: ABNB is trading below fair value by more than 20%.


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 Ratio46x
EarningsUS$1.84b
Market CapUS$82.12b

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 Average32.9x
MAR Marriott International
28.1x8.4%US$77.6b
HLT Hilton Worldwide Holdings
51.8x17.6%US$60.9b
BKNG Booking Holdings
33x14.1%US$164.7b
TCOM Trip.com Group
18.9x8.7%US$40.9b
ABNB Airbnb
46x18.0%US$82.1b

Price-To-Earnings vs Peers: ABNB is expensive based on its Price-To-Earnings Ratio (46x) compared to the peer average (32.9x).


Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GDHG Golden Heaven Group Holdings
3.5xn/aUS$6.01m
THRS.F Agility Real Estate
1.7xn/aUS$2.05m
No more companies available in this PE range
ABNB 46.0xIndustry Avg. 24.4xNo. of Companies15PE01632486480+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ABNB is expensive based on its Price-To-Earnings Ratio (46x) compared to the US Hospitality industry average (24.4x).


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 Ratio46x
Fair PE Ratio33.7x

Price-To-Earnings vs Fair Ratio: ABNB is expensive based on its Price-To-Earnings Ratio (46x) compared to the estimated Fair Price-To-Earnings Ratio (33.7x).


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$135.25
US$137.37
+1.6%
16.4%US$195.00US$85.00n/a36
Nov ’25US$136.46
US$129.46
-5.1%
16.9%US$195.00US$80.00n/a36
Oct ’25US$125.47
US$126.81
+1.1%
17.7%US$195.00US$80.00n/a35
Sep ’25US$117.31
US$130.35
+11.1%
19.3%US$195.00US$80.00n/a33
Aug ’25US$135.09
US$153.04
+13.3%
16.3%US$200.00US$80.00n/a35
Jul ’25US$151.63
US$152.84
+0.8%
16.5%US$200.00US$80.00n/a35
Jun ’25US$144.93
US$152.84
+5.5%
16.5%US$200.00US$80.00n/a35
May ’25US$156.16
US$152.18
-2.5%
17.5%US$200.00US$80.00n/a35
Apr ’25US$163.37
US$147.70
-9.6%
15.9%US$195.00US$80.00n/a35
Mar ’25US$159.72
US$144.63
-9.4%
15.7%US$185.00US$80.00n/a35
Feb ’25US$146.49
US$139.22
-5.0%
16.7%US$185.00US$75.00n/a34
Jan ’25US$136.14
US$136.14
-0.003%
17.3%US$185.00US$75.00n/a34
Dec ’24US$135.02
US$135.28
+0.2%
16.2%US$185.00US$75.00n/a34
Nov ’24US$119.47
US$141.84
+18.7%
16.1%US$185.00US$75.00US$136.4634
Oct ’24US$137.21
US$143.99
+4.9%
15.5%US$185.00US$75.00US$125.4735
Sep ’24US$132.69
US$144.50
+8.9%
15.7%US$185.00US$75.00US$117.3136
Aug ’24US$148.91
US$136.81
-8.1%
17.1%US$185.00US$97.00US$135.0936
Jul ’24US$128.16
US$129.56
+1.1%
16.0%US$185.00US$95.00US$151.6334
Jun ’24US$112.16
US$130.31
+16.2%
15.8%US$185.00US$95.00US$144.9332
May ’24US$121.42
US$141.64
+16.6%
14.4%US$190.00US$98.00US$156.1633
Apr ’24US$124.40
US$142.03
+14.2%
14.5%US$190.00US$98.00US$163.3734
Mar ’24US$120.83
US$141.29
+16.9%
13.8%US$190.00US$98.00US$159.7234
Feb ’24US$113.99
US$126.59
+11.1%
18.1%US$180.00US$80.00US$146.4934
Jan ’24US$85.50
US$130.21
+52.3%
17.9%US$180.00US$80.00US$136.1434
Dec ’23US$101.27
US$131.48
+29.8%
16.8%US$180.00US$98.00US$135.0233
Nov ’23US$109.05
US$138.51
+27.0%
19.0%US$201.90US$100.00US$119.4733

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


Discover undervalued companies