Critical Analysis: Airbnb (NASDAQ:ABNB) & Trainline (OTCMKTS:TNLIF)

Trainline (OTCMKTS:TNLIF) and Airbnb (NASDAQ:ABNB) are both consumer cyclical companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, valuation, profitability, risk and dividends.

Insider and Institutional Ownership

80.8% of Airbnb shares are held by institutional investors. 27.8% of Airbnb shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Trainline and Airbnb’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trainline	N/A	N/A	N/A
Airbnb	46.11%	34.74%	12.40%

Analyst Recommendations

This is a breakdown of recent recommendations for Trainline and Airbnb, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trainline	0	0	0	0	N/A
Airbnb	5	19	8	0	2.09

Airbnb has a consensus target price of $135.35, suggesting a potential upside of 0.58%. Given Airbnb’s higher possible upside, analysts clearly believe Airbnb is more favorable than Trainline.

Valuation & Earnings

This table compares Trainline and Airbnb”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trainline	N/A	N/A	N/A	N/A	N/A
Airbnb	$10.51 billion	8.25	$4.79 billion	$7.47	18.02

Airbnb has higher revenue and earnings than Trainline.

Summary

Airbnb beats Trainline on 8 of the 8 factors compared between the two stocks.

About Trainline

Trainline Plc engages in the operation of an independent rail and coach travel platform that sells rail and coach tickets the United Kingdom and internationally. The company operates through three segments: UK Consumer, UK Trainline Partner Solutions, and International. The UK Consumer segment provides travel apps and websites for individual travelers for journeys within the United Kingdom. The UK Trainline Partner Solutions segment offers travel portal platforms for corporates and travel management companies, and white label e-commerce platforms for train operating companies within the United Kingdom. The International segment provides travel apps and websites for individual travelers for journeys outside the United Kingdom. The company offers routes, fares, and journey times from 270 rail and coach carriers across 45 countries. Trainline Plc was incorporated in 2019 and is based in London, the United Kingdom.

About Airbnb

Airbnb, Inc., together with its subsidiaries, operates a platform that enables hosts to offer stays and experiences to guests worldwide. The company’s marketplace connects hosts and guests online or through mobile devices to book spaces and experiences. It primarily offers private rooms, primary homes, and vacation homes. The company was formerly known as AirBed & Breakfast, Inc. and changed its name to Airbnb, Inc. in November 2010. Airbnb, Inc. was founded in 2007 and is headquartered in San Francisco, California.