Why Airbnb Stock Popped 14.2% This Week
Shares of Airbnb (NASDAQ: ABNB) rose 14.2% this week, according to data from S&P Global Market Intelligence. An analyst firm raised its price target on the home-sharing platform, and the company also got a boost from broad market gains. In other news, one of the company's co-founders announced he would be stepping down from the leadership team.
Earlier this week, Stifel Nicolaus raised its price target for Airbnb from $125 a share to $180 a share. With Airbnb's current share price at only $108, investors likely took this as a sign Wall Street is bullish on the company. Analysts raise their price targets when they think a stock will move to a certain level within a year or so, so a steep rise up to $180 definitely caught the attention of the investment community.
A lot of the gains this week for Airbnb likely came from broad market movements. The Nasdaq 100 Index is up 7.23% in the last five trading days. A rising tide lifts all boats, and the inflows from investors helped raise the price of Airbnb's shares.
Source Fool.com
