Why Airbnb Stock Soared to a 6-Month High Today
Shares of short-term rental platform Airbnb (NASDAQ: ABNB) soared on Wednesday after the company reported financial results for the fourth quarter of 2022. Financial results outperformed guidance from management and surpassed Wall Street's expectations. And that's why Airbnb stock was up 13% as of 12:45 p.m. ET, jumping to a six-month high.
For Q4, Airbnb's management had guided for revenue of up to $1.88 billion. However, financial results were better than this, with Q4 revenue of $1.9 billion. Moreover, management had guided for about a 22% margin for adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). But its adjusted EBITDA margin of almost 27% far exceeded this.
Another highlight for Airbnb in 2022 was its profitability -- specifically, net income according to generally accepted accounting principles (GAAP). The company had $1.9 billion in full-year net income, compared to a net loss of $352 million in 2021.
Source Fool.com
