Analyst: Airbnb's growth keeps pace with rising expenses

Glonghui, February 13th｜Melius Research analyst Conor Cunningham stated that Airbnb is increasing spending on new initiatives, but its underlying growth is also keeping pace. Cunningham noted that analysts have long expected new investments in experiences and hotels to put pressure on profit margins. He said this did happen in the fourth quarter, but thanks to new markets and new products, growth accelerated. Cunningham mentioned that while making investments, the hotel business should become a larger vertical, and international markets are a key driver of growth. He said that Latin America was the fastest-growing market this quarter, and Brazil is expected to become the second-largest market after the United States. The stock rose 6% in pre-market trading.