Airbnb Earns an Upgrade at Mizuho

Mizuho analysts boosted their rating on Airbnb (NASDAQ:ABNB) to Buy from Neutral and increased their price target to $200 from $150.

The analysts highlighted three key factors behind the upgrade: the anticipated introduction of sponsored listings, which they expect could significantly boost EBITDA in the long term; a reassessment of the consensus estimates for fiscal 2024 room night growth that mitigates downside risk; and the potential for surpassing room night growth expectations due to increased demand from the upcoming Summer Olympics and market share gains resulting from higher hotel prices.

Consequently, the analysts adjusted their 2027 EBITDA forecast upwards by 15% to $6.8 billion, positioning their expectations 15% higher than consensus.