Airbnb Named Top Pick by Ritholtz as Q2 Revenue Jumps 17%

Airbnb reported strong financial results for the second quarter of 2026. Gross booking value increased 16% to $27.2 billion. Adjusted EBITDA was $1.3 billion, with a margin of 35%, up more than 100 basis points year-over-year. Free cash flow grew 30% to $1.25 billion. Nights and experiences booked rose 10%, accelerating from the first quarter.

Over the past six quarters, Airbnb's revenue growth rates were 6%, 12%, 10%, 12%, 18%, and 17%, respectively.

Chief Executive Officer Brian Chesky said artificial intelligence is the best thing that has ever happened to Airbnb. The company has reduced the time from concept to launch by 60% using AI, and product feature releases in the first half of the year increased nearly 80% year-over-year. AI assistants support more than 50 languages, resolve nearly 45% of customer issues, and have reduced customer support costs per booking by 16%.

Airbnb repurchased $1.1 billion of stock in the second quarter, following a $6 billion buyback authorization approved by the board in August 2025. Free cash flow over the past twelve months was $4.8 billion, with a margin of 37%. Diluted share count fell from 649 million shares in mid-2024 to 597 million.

The US Travel Association forecasts total US travel spending will reach $1.5 trillion by 2029, with international visits hitting a record 82 million. Airbnb is an official partner of the World Cup, with over 150,000 listings newly available on the platform. The company plans to apply similar strategies at major events such as the Olympics, Tour de France, Art Basel, Lollapalooza, La Liga, and NASCAR.

Airbnb's share price rose after the Q2 2026 earnings release, from approximately $163 to $188. Although the stock remains about 14% below its February 2021 peak, the company's business has doubled in size. In comparison, Booking Holdings, Hilton, Marriott, and Expedia rose 166%, 129%, 115%, and 223%, respectively, over the past three years, while Airbnb gained 59% over the same period.