Since the company’s IPO in December 2020, Airbnb’s share price has rallied remarkably. It is trading at $177.90 per share as of March 4, 2021, marking a 22.77% increase year-to-date (YTD). The figure was more than 2.5 times its IPO price of $68 per share.
Based on the latest data, travel spending in the US declined by 42% in 2020 to $679 billion. Though it has bounced back to some extent, it remains below pre-pandemic levels.
According to the research data, in tandem with its share price growth, Airbnb also saw its market value soar to $110.71 billion as of March 4, 2021. That was higher than the market value of rivals Expedia ($20B), Booking Holdings ($93B) and TripAdvisor ($5B).
Since its 2008 launch, Airbnb has generated approximately $110 billion for the hosts using its platform. Its revenue grew fourfold between 2015 and 2019, going from $919 million to $4.8 billion. As of April 2020, its bookings were down by 72% YoY.
But by June 2020, domestic reservations had more than doubled to reach 80% according to The Economist. Stays within 200 miles from home accounted for 56% of bookings, up from 31%. By the end of January 2021, bookings had recovered to 70% of pre-pandemic levels.
Based on its estimates, Airbnb has a total addressable market of $3.4 trillion. Its gross booking value in 2019 was $38 billion, equivalent to 1% of its total potential. However, at $177 per share and $111 billion valuation, the company is trading at approximately 31 times its consensus 2021 revenue.
Airbnb’s sales are projected to increase by 37% in 2021. By comparison, Expedia’s revenue is set to soar by 50% in 2021 and 35% in 2022. At its $23 billion valuation, Expedia is trading at thrice its projected 2021 revenue.
eTurboNews: Seychelles has a population of slightly over 100,000 citizens. Nigeria has a population of…
Domestic and foreign tourism in Hungary is expected to increase by 10-15 percent compared to…
eTurboNews: Six people including Captain Chet Bahadur Gurung and five Mexican nationals were aboard the…
According to the Ministry of Trade, Industry, and Tourism's Directorate of Sector Analysis and Promotion,…
While the inflation rises and spreads to almost all consumer goods, 58% of French are…
Naturist travelers should be aware that many beaches in Portugal do not allow nudism. To…