Jim Cramer Says Airbnb (ABNB) Is Holding Up – But Warns: ‘The Travel Boom Is Over, This Group Is Rolling Over’

Insider Monkey
Yesterday

We recently published a list of Jim Cramer Says Wait A Little & Discusses These 11 Stocks. In this article, we are going to take a look at where Airbnb, Inc. (NASDAQ:ABNB) stands against other stocks that Jim Cramer discusses.

In a recent appearance on CNBC’s Squawk on the Street, Jim Cramer commented on the increasing bearishness in the stock market. His co-host Carl Quintanilla asked Cramer about Cramer’s observations about the ratio of price target cuts versus raises. In response, Cramer replied:

“Jeez, I got stuck there. I had a gold company where the price target was raised. And really, not much else. I had fifty price targets that were cut and then I stopped counting. In part because I didn’t wanna come here and be a real downer. I mean I’ve been struggling with that all morning. I was looking for something positive to say. Jason Gerwirtz, you know, our guru here, was saying, ‘Jim, I mean, what do you do with your cash?,’ and I just wanna. .  .because it’s important to tell people what we do. I contribute every month, the last day, and I’ve been doing this everyday, S&P fund, can’t own stocks. . . And today, David, I said I wanna wait.”

Cramer also shared an interesting trading strategy from his personal life. He revealed that at the end of every month, he contributes to an S&P fund as he can’t directly buy stocks. However, when asked why he thought to wait this time around, Cramer replied: “Because I can’t think of a dumber day to buy. Okay, sorry. . .I debated ending the show there, but I think there’s a better day to buy. It’s not just yet.”

However, while Cramer has stopped buying for himself as of the date the show aired, he did share strategies about when to buy. According to the CNBC TV host, recalling previous tumultuous market environments might be helpful. He shared:

“Okay, so, you have to decide when you use analogues, do you do 2018? Do you do 2022? Those were situations where the Fed had to act because there was, you know they created, a bad moment. And we a President that’s creating a bad moment.”

Elaborating further, Cramer discussed in detail the Federal Reserve’s interest rate hike cycle of 2022 when the central bank shocked markets with successive 75 basis points interest rate hikes. He outlined:

“Okay so let’s go back in history. I mean therefore, let’s say you have the Federal Reserve saying in 2022, we gotta raise rates. And we have to do it rapidly. And do you sit there and just say you know what, I’m going to be punished and take my pain. Or you say, listen, I’m gonna dodge it. Maybe I’ll sell a little. . .maybe we’re in one of those moments, it happens. The question is, those were all the Fed starting the cycle, which takes a long time, you don’t stop buying the day after. But when you listen to what David said about the tariffs, it reminds me of, okay you have a rate cycle, and you know you’re gonna get clobbered. So maybe you wait a little. Uh, we did go down 10.8% in the S&P and it seemed like the President relented. This seems like an angrier President. I don’t get the sense that he’s, not only is he not thinking right now about the market, I question whether he’s thinking about the people who voted for him.”

While Cramer generally supports President Trump and agrees with him about the need to tariff America’s trading partners, whom Cramer dubs as ‘trading enemies,’ he found Trump’s statement saying that the President could not care less about whether car manufacturers raised prices “very disturbing.”

Our Methodology

To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC’s Squawk on the Street aired on March 31st.

For these stocks, we also mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Airbnb, Inc. (NASDAQ:ABNB)

Number of Hedge Fund Holders In Q4 2024: 54

Airbnb, Inc. (NASDAQ:ABNB) is a technology company that enables travelers to rent out properties. Like other stocks, the shares have struggled in Q1 due to the impact of potential economic headwinds on the travel industry. Airbnb Inc (NASDAQ:ABNB)’s shares have lost 24% since mid-February after having gained 14.5% after the firm’s latest earnings report. Cramer has long complained about the downturn in travel stocks impacting the firm’s shares. Here’s what he said about Airbnb, Inc. (NASDAQ:ABNB):

“Well, I know that there’s a lot of questions about going out to dinner and going out to dinner, the restaurants that charge too much, not good. The travel boom. Many people feel is over. . .if it’s the airlines, AirBnb has still held up relatively, but Marriott has started to come down. This group is rolling over, but it’s a little self-fulfilling in the sense that you know David, once you get, one of them down, people just say I’m getting out all of them.”

Overall, ABNB ranks 2nd on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of ABNB, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ABNB but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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