Jim Cramer thinks investors hunting for bargains need to take a closer look at Airbnb (ABNB) stock, even as AI raises uncomfortable questions about online travel.
On CNBC’s September 29 Mad Money, Cramer called the beaten-down stock “a steal,” arguing that fears surrounding Meta Platforms’ (META) Muse may be sweeping too broadly.
The sharp take comes amid growing speculation that personal AI agents could change how consumers shop, manage subscriptions, and plan vacations.
For companies that benefit from customers returning out of habit, that could become a serious challenge. An assistant that compares prices automatically gives consumers another reason to look elsewhere.
But Cramer sees an important distinction between businesses that risk losing their purpose and those whose services remain difficult to replace.
Airbnb, in his view, belongs closer to the second group, which makes the stock’s recent selloff worth looking into.
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Cramer calls Airbnb a bargain as Muse rattles consumer stocks
Jim Cramer sees Airbnb as a standout buying opportunity among stocks caught in fears about Meta Platforms’ Muse agent.
He started off his arguments with what he feels an AI agent can realistically replace.
“It’s easier for an agent to book hotels online than it is for them to comb through rental homes and book directly from the owner,” he said on Mad Money.
That’s one of the big reasons why he believes Airbnb is largely protected from AI competition. After its sharp monthly selloff, he called the stock “a steal.”
“It may be my absolute fave of the Muse casualties.”
As per Seeking Alpha data, the stock is down 17% over the past month and around 3% over the past week.
Cramer also questioned whether investors were moving too quickly against other travel platforms. Similar fears have surrounded online travel stocks since ChatGPT launched, he noted, without making those businesses obsolete. Expedia (EXPE), he added, has already partnered with Muse to help users plan vacations.
He feels AI can become a distribution partner as well as a competitive threat.
Still, he sees genuine vulnerabilities. Muse can compare prices and cancel neglected subscriptions, challenging companies that benefit from customers sticking around out of habit.
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Cramer contrasted engaged Life Time members with less-dedicated Planet Fitness customers and flagged struggling SiriusXM as harder to defend.
“I’m just asking you to think critically about where these companies stand.”
For investors, his point is simple: understand why customers stick with a company before assuming AI can take its business away.
Meta’s president puts Cramer’s Airbnb bet to the test
Cramer’s interview with Meta President Dina Powell McCormick raised a bigger question about his Airbnb call: How much of travel planning can Muse actually handle?
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“Usually, you’re asking the models a question. In this case, Muse is working for you,” she said.
She also introduced Muse for Small Business, describing tools that handle customer conversations, cash flow and inventory. The broader ambition is clear: to make AI useful enough that people routinely hand it work.
Travel is already part of that pitch.
“People are planning their kids’ birthday parties, booking their travel,” Powell McCormick told Cramer.
According to Meta, Muse can browse websites, complete forms and arrange travel, while seeking approval before purchases. Those capabilities suggest its role could extend beyond simply recommending destinations.
But Meta’s partnership strategy also supports Cramer’s skepticism about abandoning travel stocks. Its recent announcement listed an Expedia connector as coming soon, suggesting established platforms can supply the services behind AI recommendations.
For Airbnb, the distinction is crucial. Helping someone choose a rental does not automatically replace the marketplace needed to book it. Still, Cramer’s protection argument has limits. If travelers start with Muse, Airbnb could lose influence over which properties they discover, even while retaining bookings.
The investment question becomes whether AI brings Airbnb more customers or makes it harder to retain their loyalty and defend its fees over time.
Airbnb’s selloff strengthens Cramer’s case, but “steal” needs proof
Airbnb’s bullish nod from Cramer is understandable following the recent sell-off, but the numbers suggest a discount to its history rather than an obvious bargain.
The stock trades at 29.62 times projected adjusted earnings, roughly 16% below its five-year average of 35.13, according to Seeking Alpha. Put simply, investors are paying less for each dollar of expected profit than they typically have.
Its forward enterprise-value-to-EBITDA multiple tells a stronger story: 16.45, about 33% below its historical average. That suggests the recent sell off has substantially reduced the premium attached to the business.
Related: Jim Cramer issues blunt warning on high-dividend stocks
But Airbnb still commands roughly twice the sector’s forward adjusted earnings multiple. That premium requires powerful, sustained growth across both lines or a more durable business to justify it.
Returns also complicate the beaten-down label.
Shares fell 17.14% over one month, against the S&P 500’s 0.52% decline. Yet Airbnb remains up 15.65% this year and 27.69% over 12 months, outperforming the index across both periods according to Seeking Alpha data.
Cramer’s argument, therefore, hinges on whether AI fears overstate the damage ahead. Investors should watch booking growth, margins and customer acquisition costs. A cheaper multiple becomes compelling only if Airbnb’s earnings prospects hold up.
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