Struggling Airbnb Stock Falls on Analyst Downgrade

There's room for more covering analysts to change their tune

Deputy Editor
Jun 22, 2022 at 9:35 AM
facebook twitter linkedin


Online lodging marketplace Airbnb Inc (NASDAQ:ABNB) is skidding today, last seen 3.5% lower to trade at $98.71, following a bear note from J.P. Morgan Securities. The brokerage firm downgraded ABNB to "market perform" from "market outperform," noting that increased post-pandemic travel demand is already priced into Airbnb stock's value.

Covering analysts were neutral toward ABNB coming into today; however, there is still plenty of room for additional downgrades. Of the 22 firms in question, eight still recommend a "buy" or better rating, while 14 say "hold" or worse. Additionally, short interest is moving higher -- up 41.3% in the last two reporting periods -- though the 13.35 million shares sold short still make up just a slim 3.6% of the stock's available float. 

On the charts, today's negative price action is pushing security back toward its June 16, record low of $92.09, with yesterday's rally attempt failing at a former floor near the $105 area. In the last nine weeks, ABNB has turned in eight negative weekly returns, and now sports a 38.6% year-to-date deficit.

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners