Airbnb Seeing Strong Non-Urban Demand Broadening to Urban and International Trips; Shares Overvalued

Narrow-moat Airbnb’s first-quarter results and 2022 guidance were near our existing forecast, and we don’t expect a material change to our $114 fair value estimate, leaving shares overvalued. Gross bookings were $17.2 billion versus our $17.1 billion estimate, representing 173% of 2019 levels. Gross booked nights were 102.1 million compared to our 101.5 million forecast, equating to 126% of prepademic levels. Average daily rate was in line with our model at $168, coming in at 137% of 2019 levels.