Some analysts express bearish views on Airbnb, but these assessments might be misguided according to Bernstein. Key points of bearish sentiment include: Airbnb’s room nights have grown by only 8% on a compound annual growth rate (CAGR) since 2019. The company has relied on price increases (9% per year) rather than volume growth. Airbnb’s average prices are 40% higher today compared to 2019, leading some to believe it has lost its edge as a budget-friendly hotel alternative. Booking.com, a competitor offering both hotels and short-term rentals, has narrowed the room night growth gap against Airbnb.