| The Business Behind the Chart In February, Airbnb reported Q4 2025 earnings. The stock was trading around $120 going into the report. EPS missed at $0.56 versus $0.66 expected. EPS, or earnings per share, is the company's profit divided by the total number of shares - the number analysts use to measure whether a company is growing. The crowd focused on the miss and walked away. Fools. Revenue came in at $2.78 billion, up 12% year over year and above guidance. Gross booking value hit $20.4 billion, up 16%. Gross booking value is the total dollar value of all reservations made on the platform before any refunds or cancellations - the best measure of raw demand. That 16% was the strongest growth quarter in over two years. Nights booked rose 10%. Management guided Q1 2026 revenue growth of 14 to 16% and expects full-year 2026 growth to accelerate to at least low double digits. The stock absorbed the miss, held the lows, and has been building a base ever since. It is now trading around $133. That kind of resilience after a miss tells me something. Next earnings are around May 7. Six weeks out. If this setup fires before then, a catalyst is coming that could amplify the move. I want to be straight about one thing. ABNB does not have relative strength on the year. It is flat while the broader market has been volatile. That is a fair objection. But I do not trade the headlines. I trade the setup. Oil at $94. VIX at 28. War headlines every morning. I know what is out there. What I also know is that a stock that absorbs a bad earnings miss, holds its lows, builds a base, stacks its EMAs, and compresses into a squeeze is telling me something the news feed is not. When the macro is loud, and a stock is quietly holding structure, that is when I pay attention. Your Action Plan I want a clean daily close above the upper trendline of the triangle, converging around $135-$136. If price breaks out on volume with the squeeze releasing, that fires my entry. The target from there is a move toward the recent highs in the $140 to $145 range. What would change my read is a clean daily close below the 200 SMA at $128.45. Structure breaks, setup is off the table. Join me every morning in Daily Profits Live. When ABNB fires, you will know the second I do. |
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