A Bull Market Is Coming: 3 Reasons Airbnb Stock Could Skyrocket
With inflation beginning to fall and interest rates likely near a peak, it looks increasingly likely that stocks could enjoy a bull market as economic conditions normalize. While it's hard to time the market, quality companies like Airbnb (NASDAQ: ABNB) can reward investors no matter what happens. Let's explore why the company looks poised for success.
As a hospitality company, Airbnb's business was slammed by the COVID-19 pandemic in 2020 and 2021. But management used this as an opportunity to cut costs and streamline its business model, mainly through laying off employees. Now, the effects of these decisions are shown in the company's impressive financial results.
While 2022 was generally a difficult year for NASDAQ companies, Airbnb bucked the trend with record levels of active listings on its platform (up 900,000 to 6.6 million globally). Revenue soared 40% to $8.4 billion, while the company generated its first annual generally accepted accounting principles (GAAP) profit of $1.9 billion (up from a loss of $352 million in 2021).
Source Fool.com
