Airbnb Surges 12% to 52-Week High After Fastest Revenue Growth in Over Three Years and New $12 Billion Buyback

Airbnb shares closed up roughly 12% on November 6, hitting a 52-week high and bringing its year-to-date gain to 39.3%, after the company posted third-quarter results that beat estimates across every major metric and delivered its strongest revenue growth in more than three years. Revenue reached $4.87 billion, up 19% year over year, topping the $4.75 billion analyst consensus, while earnings per share of $3.16 exceeded the $2.84 estimate. Net income was $1.9 billion and adjusted EBITDA came in at $2.5 billion.

Guests booked 155 million nights and seats in the quarter, a 16% increase from a year earlier, while gross booking value climbed 21% to $27.7 billion, both metrics accelerating from prior periods. For the fourth quarter, Airbnb guided revenue of $3.22 billion to $3.28 billion, above the $3.16 billion Wall Street consensus, and raised its full-year outlook to high-teens revenue growth with an adjusted EBITDA margin of approximately 36%. The company also announced a new $12 billion share repurchase authorization alongside a $1.0 billion credit facility.

CEO Brian Chesky highlighted AI-driven efficiency gains as a key margin driver. About 40% of customer support issues were resolved without a human agent in the quarter, up from roughly one-third the prior quarter, and support costs per booking fell more than 17% year over year, with the AI assistant now operating in more than 50 languages. Chesky separately said AI booking agents such as Muse and Instinct have so far accounted for minimal traffic and few bookings, and he does not view them as a competitive threat. He also noted that roughly 35% of first-time hotel guests go on to book a home through Airbnb within a year, pointing to hotels as a customer acquisition channel for the core home-rental business.

Multiple analysts raised their price targets in response. Evercore ISI lifted its target to $230, Canaccord raised its target to $225, Goldman Sachs and Mizuho also increased their targets, and Cantor Fitzgerald raised its forecast citing the strong results. Seeking Alpha upgraded its rating, calling Airbnb "back in growth mode." Shares of rivals Booking Holdings and Expedia each fell roughly 2% on the day, underscoring how the results stood apart from broader industry caution.