Airbnb Stock Falls After-Hours On Soft Outlook: Retail Cheers Strong Q2, Travel Rebound Commentary

Airbnb (ABNB) shares fell 6% in extended trading on Wednesday, after it issued a soft outlook for the second half of the year, even as the company maintained that tourism trends were strong.

Airbnb's third-quarter revenue outlook of $4.02 billion to $4.10 billion came in slightly below analysts' estimates of $4.05 billion, according to Reuters/LSEG. The fourth quarter also faces high year-over-year comparisons, "putting pressure on growth rates later in the year,” the company said.

The cautious tone took the focus away from better-than-expected results for the last quarter and a new $6 billion buyback announcement.

"While the quarter started with some global economic uncertainty, travel demand picked up," CEO Brian Chesky said on a post-earnings call.

Revenue rose 13% to $3.1 billion, beating expectations of $3.04 billion. Nights and seats booked, an updated metric which includes the number of services booked on Airbnb's platform, rose 7%, while gross booking value increased 11%.

Gains were largely driven by Latin America and Asia Pacific markets, with some recovery in North America. Airbnb reported an adjusted profit of $1.03 per share, which was higher than the estimated $0.93.

On Stocktwits, the retail sentiment for ABNB shifted to 'extremely bullish' as of late Wednesday, from 'bullish' the previous day. Message volume surged over 1,600% in the past 24-hour period.

Users were left slightly confused about the share reaction, with one saying, "$ABNB who’s selling. This should rip." Several users said the stock would bounce back on Thursday.

Meanwhile, Airbnb did not break down the results of its new Experiences offering, but stated that it could grow to add $1 billion to the company's annual revenue.

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