16 Comments
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Nicholas Jerrat's avatar

Great article, thanks! I've been in since under $100, it seemed like a complete no brainer. I hope they continue to perform!

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Arny Trezzi's avatar

Thanks to you for reading Nicholas, glad you enjoyed it.

I clearly remember those days everybody was hating also on X... Compliments for the entry!

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Nicholas Jerrat's avatar

Thanks Arny! Appreciate all your hard work on Palantir, a must read for me.

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lidia's avatar

Extremely valuable analysis, thank you Arny Trezzi !

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Arny Trezzi's avatar

Thank you so much Lidia, glad you found it interesting!

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Stefan Waldhauser's avatar

Nice writeup on Airbnb, I completely agree with your bullish thesis. I am invested in ABNB since 2022 and think the price is still fair - even after the +50% surge since then.

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Arny Trezzi's avatar

Thank you Stefan for your feedback.

The fundamentals seem to improve more than the price. Love this.

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Riccardo Vocca's avatar

From a perspective more focused on consumer behavior, Airbnb has moved absolutely in line with the expectations of consumers and the trends most interesting to them: it has nurtured a constant relationship with people who were looking for a specific type of experience, broadened the pool of options on its platform, reduced friction for bookings and, finally (fundamentally) it has built increasingly new marketing initiatives and striving to create a communication identity that is increasingly appreciated today. This is also reflected in the results you talked about in this piece which I appreciated very much.

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Arny Trezzi's avatar

Thank you for your amazing comment Riccardo.

I've been a customer for almost 10y and I really saw the evolution of the platform. With other platforms you just get a service, with Airbnb I feel I get an experience.

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Gary Wentworth's avatar

👉 The entity of this buyback should help provide a floor to the stock and offset the impact of share dilution. 👈 You mean dilution from RSU’s, right?

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Arny Trezzi's avatar

Yes, the stock compensation which is mostly given as RSU is still relatively high.

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Gary Wentworth's avatar

Seems a bit odd for a company to issue high levels of RSU’s and then immediately buy back the stock, though ))

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Arny Trezzi's avatar

Agreed, but the priority for the company is to align employees. RSU work better than just salary.

Given the relatively low valuation it makes absolute sense to buyback imo!

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Maverick Equity Research's avatar

Great take, thank you!

1$ for big RSU is fair enough, cheers!

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Jul 26
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Arny Trezzi's avatar

Thank you so much Hariharan, I love to tell the investment case with pictures!

Yes I also noticed that a big part of the older generation is quite skeptical on the concept as they prefer hotels. Nothing wrong with that, I think it is just another experience more suited for more adventorous people and families.

Airbnb has already incorporated hotels in the offering, so I don't see any real problem until people enjoy the experience in app and the brand remains strong.

We will have a better taste with the Olympiads.

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Jul 26
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Arny Trezzi's avatar

My pleasure. Keep me posted!

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