7 High Growth Travel Services Stocks For 2025

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1. Airbnb Inc. (NASDAQ:ABNB)

Airbnb Inc. is a hospitality service that allows hosts to provide accommodation and related activities to guests. Its online platform connects homeowners with travelers through mobile devices and websites to ease the accommodation booking process. Though the stock suffered losses in January, analysts are still optimistic about the stock’s performance.

The reason behind the optimism is the solid 9-month performance of the company which indicates a 12% increase in revenue as compared to the 9-month revenue of the previous year. The company’s profitability decreased but that is expected in seasonal stocks. In addition to the outstanding revenue growth, another major achievement was the growth in operating cash flow which went up from $3.82 billion to $4.05 billion.

As a result of the strong Q3 financial result, ABNB is expected to grow its revenue by 15% YoY. Not just the revenue but the free cash flows are projected to raise approximately $4.2 billion in 2025. The company is well-positioned to grow in 2025 based on the strong performance of the previous year and attractive 2025 guidance. Investors should take the decline in share prices as a buying opportunity for potential gains in the future.

Airbnb Inc. is not on our latest list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 57 hedge fund portfolios held ABNB at the end of the third quarter which was 51 in the previous quarter. While we acknowledge the potential of ABNB as a leading investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as ABNB but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

Disclosure: None. This article was originally published at Insider Monkey.

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