Airbnb hosts everywhere are having a bad summer — but the company's stock is still up 70%, sending the fortunes of all 3 cofounders soaring
Airbnb
- Airbnb shares have surge 70% this year, boosting the fortunes of its cofounders.
- In particular, CEO Brian Chesky's net worth soared nearly 80% this year.
- The boost in the Airbnb founders' wealth contrasts with falling revenues for some Airbnb hosts.
It hasn't been the best summer for Airbnb hosts.
The post-pandemic pent-up demand for travel at any cost has ebbed, and guests are now far more budget conscious, scrambling for last-minute bookings that span a shorter stay.
But that hasn't stopped Airbnb shares from soaring 70% on the back of a broad market rally which has been propped up by still robust travel demand. And those reaping the fruits are the company's three cofounders: Brian Chesky, Nathan Blecharczyk, and Joe Gebbia.
Chesky saw his fortune rise by 80% to nearly $12 billion this year, per Bloomberg Billionaires Index. This makes him the 160th richest person in the world as of Wednesday.
Blecharczyk and Gebbia saw comparatively modest gains at $3.7 billion and $3 billion, respectively — but they're still on Bloomberg's list of the top 500 richest people in the world. Blecharczyk is worth 60% more this year, taking his net worth to about $10 billion, while Gebbia's wealth climbed by 50% to hit $9 billion.
The trio founded the home-sharing platform in 2007. The stock made its debut on Nasdaq in December 2020.
Blecharczyk is Airbnb's chief strategy officer. Gebbia stepped down from his full-time operating role at Airbnb in July last year but still sits on the company's board and is the chairman of its nonprofit arm, Airbnb.org.
The bump in the net worths of the Airbnb founders contrasts with falling revenues for many Airbnb hosts, Insider's Dan Latu reported in June. Katie Kay Mead, who manages a basic two-bedroom rental in California, told Insider the property is going at a price that's 25% below what it went for last year.
With travelers pulling back on travel expenses, Airbnb is expecting a slowdown in its second-quarter bookings compared to 2022. The company's first-quarter revenues of $1.82 billion beat analysts' expectations. It has yet to release its second-quarter results.
On Tuesday, Airbnb's shares closed 0.8% higher at $146.53 apiece.
Airbnb did not immediately respond to a request for comment from Insider sent outside regular business hours.
June 19, 5.25 p.m.: This story has been updated with information about Chesky and Blecharzyk's net worths as well as more information on the company's performance in 2023.