Airbnb downgraded to Sell at Morgan Stanley on slowing listings growth

Airbnb (NASDAQ:ABNB) stock slipped in Tuesday’s extended session after Morgan Stanley moved to a Sell-equivalent rating.

A team of analysts led by Brian Nowak called out “decelerating supply growth” reflected in channel checks, an issue that comes at an inopportune time given inflationary impacts on consumers. He added that the bank’s research shows “occupancy headwinds and lower room night demand.”

On the back of the bearish data found in channel checks, Nowak downgraded the stock from Equal Weight to Underweight and reduced his price target to $80. He added that, in a bear case scenario, the stock could slide to $60.

Shares of the California-based online lodging platform fell 2.81% after the bell on Tuesday, extending a 5.47% drop marked during the daily trading session.

Read more on analyst opinions of the stock.