Airbnb stock is ‘much more expensive’ than peers: Scott Nations

Airbnb Inc (NASDAQ: ABNB) has had a great start to the year but Scott Nations – Founder of Nations Indexes recommends taking profits now as that strength will likely vanish moving forward.

Why Nations is bearish on Airbnb stock

At the current valuation, Nations dubs the vacation rental company meaningfully more expensive to own than its peers in the travel and tourism industry.

Nonetheless, the Nasdaq-listed firm is expected to earn 25 cents a share in its current financial quarter. That’s significantly better than 8 cents it earned a year ago.

Airbnb stock is up over 20% for the year at writing.

Airbnb stock should be worth $87 only

Earlier in January, the New York City passed a new law that requires short-term rental hosts to register with the Mayor’s Office of Special Enforcement. On CNBC’s “Power Lunch”, Nations also said:

His dovish is in line with Gordon Haskett that downgraded the Airbnb stock to “underperform” on Wednesday.

Analyst Robert Mollins now sees downside in its shares to $87 – about a 15% downside from here.