Growth perspective: Is the Airbnb IPO Exchange?

Growth perspective: Is the Airbnb IPO Exchange?
The Introduction on the Airbnb Stock Exchange marks a major turning point for the company

The Airbnb Stock Exchange will be effective at the end of the year. The rumors of a trading entry date back to 2015, investors patiently waiting for the opportunity to invest in a start-up that prides themselves to have a global brand at home-booking services.

However, it seems strange to make the company into IPO *, since the travel sector has been hit hard by the coronavirus pandemic. The management had planned to launch the IPO in March, but we expected a longer period, at least until a vaccine has been found and approved, to avoid the risk of registration in Scholarship in the middle of a second blocking and see revenue collapse again.

The money collected can be used for various things, including investments, acquisitions and reimbursement of money borrowed by Airbnb to deal with the health crisis at the beginning of the year. It is also a way for the founders of the company and the first investors, including family members, employees and venture capital companies, sell all or part of their investments and gain from the money from their initial bets on startup.

It is unclear how many actions could be sold at the time of the IPO. The company stated that it would allow its employees to sell up to 15% of their shares at the IPO next month.
Invest on the stock market: Should we bet on the airbnb action?
At this time of Covid, investing on Airbnb has huge risks

Recently, it has been reported that the properties of Airbnb returned from the pandemic to better state than hotels. While hotel reservations dropped by 70% in March, short-term rental bookings decreased by less than 50% and seem to be returned. This gives a slight advantage of the airbnb properties to the hotels.

Like Uber, Airbnb faces serious control pressure in particular from US authorities; This prevents the company from expanding these growth prospects. The company would be in the viewfinder of regulators to promote rentals with extremely low prices compared to those on the market.

The Airbnb IPO is already seen by many such as zoom video although the company knows difficult financial periods marked by a strong debt. Some believe that Airbnb's action could be increased despite these bad economic resulatives.

In view of these arguments, investing on Airbnb seems complicated especially that the company is very indebted and leaves an extremely difficult impasse because of the crisis. However, the hope of a vaccine remains interesting for the future of the company. The best advice regarding Airbnb's action is observation.