Airbnb (ABNB)
Consumer Discretionary · $96.9B market cap · SEC CIK 0001559720
fundamentals score out of 100
Next reports on Nov 4, 2026, after the close, with analysts expecting $2.92 in earnings per share.
The case for ABNB
- Earns 33% back on shareholder equity.
- 20% of revenue drops through to net profit.
- Holds more cash ($6.6B) than long-term debt ($0).
- Revenue growing 13.6% year over year.
- Has compounded revenue at 29.4% a year over five years.
- Barely leveraged. Debt is 0.32× equity.
The case against
- Pricey at 36.0× earnings, against a long-run market average nearer 20×.
- Growth is slowing: revenue up 13.6% this year against 29.4% a year over five.
- Price/sales of 7.4× is higher than 98% of Consumer Discretionary companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Consumer Discretionary companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 23 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 76 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 82 |
| Momentumhow the price has behaved lately | 74 |
| Stabilityhow violently it moves, what it owes and what it pays you | 67 |
- Each factor except momentum is half fixed thresholds, half rank among the 48 Consumer Discretionary companies.
Key numbers
| Price / earnings | 36.0× |
|---|---|
| Price / book | 10.89× |
| Price / sales | 7.4× |
| Revenue growth (YoY) | +13.6% |
| EPS growth (YoY) | +6.6% |
| Gross margin | 72% |
| Operating margin | 21% |
| Net margin | 20% |
| Return on equity | 33% |
| Debt / equity | 0.32× |
| Current ratio | 1.41 |
| Dividend yield | none |
| Beta | 1.26 |
| 52-week range | $110.81 – $193.45 |
| Position in that range | 62% of the way up |
| 3-month return | +17.2% |
| 1-year return | +31.3% |
Five years of financials, as filed
Pulled from Airbnb's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $12.2B | $11.1B | $9.9B | $8.4B | $6.0B |
| Operating income | $2.5B | $2.6B | $1.5B | $1.8B | $429M |
| Net income | $2.5B | $2.6B | $4.8B | $1.9B | -$352M |
| Operating cash flow | $4.6B | $4.5B | $3.9B | $3.4B | $2.3B |
| Capital expenditure | — | — | — | $25.0M | $25.0M |
| Total assets | $22.2B | $21.0B | $20.6B | $16.0B | $13.7B |
| Total liabilities | $14.0B | $12.5B | $12.5B | $10.5B | $8.9B |
| Shareholder equity | $8.2B | $8.4B | $8.2B | $5.6B | $4.8B |
| Cash | $6.6B | $6.9B | $6.9B | $7.4B | $6.1B |
| Long-term debt | $0 | $2.0B | $2.0B | $2.0B | $2.0B |
| Free cash flow | — | — | — | $3.4B | $2.3B |
| Operating margin | 20.8% | 23.0% | 15.3% | 21.5% | 7.2% |
| Net margin | 20.5% | 23.9% | 48.3% | 22.5% | -5.9% |
| Diluted shares | 623M | 645M | 662M | 680M | 616M |
Share count is essentially flat over 4 years.
What Airbnb says it does
Overview Airbnb was founded in 2007 when two hosts welcomed three guests to their San Francisco home, and has since grown into a global community of over 5 million hosts who have welcomed over 2.5 billion guest arrivals in almost every country and region across the globe. Every day, hosts offer unique stays, experiences, and services that enable guests to connect with communities in a more authentic way. We operate a global marketplace connecting guests with stays, experiences, and services, collectively in over 220 countries and regions. Our offerings have expanded to include services and redesigned experiences, which launched in May 2025. We operate with five key stakeholders in mind: our employees, shareholders, hosts, guests, and the communities we serve. Our commitment to making long-term decisions that benefit all these stakeholders is fundamental to our sustained success. Our Long-Term Growth Strategy Our key strategic…
Risk factors ABNB lists in its 10-K
- Delivery of global community support
- Incorporation of AI and machine learning
- Operation of a microservices architecture
- Commitments and Contingencies – Legal and Regulatory Matters – Regulatory Matters,
- Management’s Discussion and Analysis of Financial Condition and Results of Operations — Key Business Metrics and Non-GAAP Financial Measures
- Risks Related to Our Business and Operations
- We may not be able to sustain our revenue growth rate or effectively manage growth or new opportunities
- If we are unable to successfully expand our global network or manage the risks presented by our business model internationally, our business, results of operations, and financial condition would be materially adversely affected
- Industry, Financial, and Insurance Risks
- Any decline or disruption in the travel and hospitality industries or economic downturn could materially adversely affect our business, results of operations, and financial condition
- The business and industry in which we participate are highly competitive, and we may be unable to compete successfully with our current or future competitors
- Our failure to properly manage funds held on behalf of customers could materially adversely affect our business, results of operations, and financial condition
- If one or more of our counterparty financial institutions default on their financial or performance obligations to us or fail, we may incur significant losses or be unable to process payment transactions
- The failure to successfully execute and integrate acquisitions could materially adversely affect our business, results of operations, and financial condition