Airbnb soars over 100% in opening Nasdaq trade

The stock opened at $146

Airbnb Inc. shares surged over 100% Thursday in their opening trade on the Nasdaq.

Shares of the San Francisco-based online travel accommodations booking website opened at $146 after pricing at $68 on Wednesday evening. They were expected to price between $56 and $60 per share. Shares trade under the ticker ABNB.

Ticker Security Last Change Change %
ABNB AIRBNB INC. 112.55 -1.62 -1.42%

IPO FLOODGATES OPEN AS AIRBNB, DOORDASH PREP STOCK-MARKET DEBUTS

The pricing raised $3.7 billion and gave Airbnb a $47 billion valuation on a diluted basis, making it the largest initial public offering of 2020. The post-IPO gains ran the company's market value to more than $100 billion. Quicken Loans parent, Rocket Cos., debuted in July at an almost $44 billion valuation.

Airbnb will now compete for investor funds with major hotel chains.

Ticker Security Last Change Change %
MAR MARRIOTT INTERNATIONAL INC. 155.23 -1.71 -1.09%
H HYATT HOTELS CORP. 80.65 -1.62 -1.97%
WH n.a. n.a. n.a. n.a.

Like hotels, Airbnb’s business was hit hard as stay-at-home orders aimed at slowing the spread of COVID-19 eliminated most nonessential travel.

The company reported April bookings fell by 72% from the year prior, resulting in more than 1,900 layoffs, or about 25% of its workforce.

Business rebounded as the economy reopened, with revenue down 19% year-over-year to $1.34 billion in the most recent quarter. The company reported a quarterly profit of $219 million.

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