Jefferies Analysts Bullish on Airbnb, Citing Paris Olympics Boost

Jefferies analysts expressed a positive outlook on Airbnb (NASDAQ:ABNB), highlighting the potential benefits from the upcoming Paris Olympics.

Jefferies noted a significant increase in bookings for the Paris area during the Olympic Games, prompting them to raise their Night growth estimates for Airbnb. This surge in demand is supported by a 40% increase in active listings, indicating strong supply to meet the expected influx of visitors. Jefferies predicts that the Olympics will provide approximately a 2% boost to Airbnb's Q2/24 Night growth, leading them to revise their growth estimates upwards, surpassing consensus expectations.

Jefferies also sees the Olympics as a catalyst for long-term growth. They believe the event will attract new users who typically prefer hotels, especially those looking for budget-friendly options or accommodations outside central Paris. This influx of new users is expected to translate into sustained supply and demand growth in the region.

In addition to the Olympics, Jefferies pointed to the potential impact of the European Football Championships in Germany, which could also provide a significant boost for Airbnb. While this event is not included in their current analysis, it suggests further growth opportunities for the company.

Overall, Jefferies views major sporting events like the Olympics and the European Football Championships as beneficial for Airbnb. They maintain a Hold rating on the stock but acknowledge the potential for near-term gains and long-term growth driven by increased user acquisition.