Is Now the Right Time to Buy Airbnb?
Since Airbnb's (NASDAQ: ABNB) IPO in December 2020, the stock has provided a less-than-inspiring return of negative 13%. Most of this is at no fault of its own. After all, the company faced (and continues to face) an extremely challenging environment, including a tech stock market crash, a global pandemic, rising interest rates, and decades-high inflation.
The last year provided a much-needed boost for the company thanks to the post-COVID travel boom, yet the shares still sit 18% below their initial trade price. Now, with recession worries mounting, investors are rightfully wondering if right now is the right time to buy Airbnb. Let's take a closer look to see.
As if recent challenges weren't enough, it's seeming more and more likely that the economy is headed for a recession. During recessions, economic spending, particularly luxury spending on things like travel, recedes -- which would clearly have a negative impact on Airbnb.
Source Fool.com
