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John Colantuoni, internet equity research analyst at Jefferies, joins CNBC's Kelly Evans to talk about the online travel companies and his outlook for the broader travel sector.
While investors today want to emulate what Warren Buffett and other mega investors in the stock market are trying to do, they often forget that they are in the tenth chapter of their journey, while most retail investors should be trying to figure out what these professionals did in their beginning chapters. Having less capital at their disposal and a narrower stock selection system doesn't have to be a disadvantage, just as it wasn't one for younger Buffett.
Airbnb (ABNB) grapples with intensifying competition, market volatility and shorter booking lead times amid the strength in its core business and growing listings.
Americans are penny-pinching as inflation made everyone more aware of their spending. With discretionary spending in focus, the travel industry has taken a hit.
Because of Airbnb's huge success disrupting the travel and real estate markets, it has caught the attention of regulators. No single city generates more than 2% of Airbnb's sales, which alleviates risk.
Airbnb's strong market dominance and innovative strategies position it well for future growth, despite recent underperformance compared to the S&P 500. CEO Brian Chesky's vision includes new services like a co-hosting marketplace, which is expected to significantly increase listings and revenue. Current market estimates undervalue Airbnb. My DCF model suggests a fair value of $160 per share, making it a Strong Buy.
SkyRun Vacation Rentals President Cord Thomas discusses his company's business strategy as Airbnb weakens its outlook on signs of slowing demand. https://bit.ly/2D9Cdse Watch more Fox Business Video: https://video.foxbusiness.com Watch Fox Business Network Live: http://www.foxnewsgo.com/ FOX Business Network (FBN) is a financial news channel delivering real-time information across all platforms that impact both Main Street and Wall Street.
This column is part of the eighth annual Heard on the Street stock-picking series.
Large events like the olympics can be an opportunity for Airbnb. The use of generative AI could unlock a more personalized user experience.
Its valuation was high following the IPO. The stock has fallen as customers are less willing to book trips far in advance.