Earnings
Airbnb and Cloudflare jump after hours as bookings accelerate and AI demand lifts forecasts
Image: Michelle-Maria via Pixabay
Two of Thursday's after-the-close reports bucked a brutal session, with Airbnb adding a $12 billion buyback and Cloudflare raising its full-year outlook.
By Noris Ortiz ·
Two companies reported third-quarter results after the bell on Thursday and drew strong buying in extended trading, even after the Nasdaq Composite closed down 5.52% in a chip-led selloff [1]. Airbnb shares rose about 10% after hours, according to a Reuters report, and Cloudflare shares climbed about 17% following its release, Seeking Alpha reported [2][3].
Airbnb said revenue rose 19% from a year earlier to $4.87 billion, or 16% excluding currency effects, according to its shareholder letter filed with the Securities and Exchange Commission [4]. Net income was $1.89 billion, and diluted earnings per share were $3.16, compared with $2.21 a year earlier [2][4]. Nights and seats booked increased 16% to 155.0 million, and gross booking value rose 21% to $27.7 billion [4]. Reuters reported that North American bookings grew at a low-double-digit rate and bookings in Europe, the Middle East and Africa at a mid-teens rate [2].
The outlook was the other driver. Airbnb raised its 2026 revenue growth forecast to the high teens from at least mid-teens, and guided fourth-quarter revenue to between $3.22 billion and $3.28 billion, or growth of 16% to 18% [2][4]. It expects its full-year adjusted EBITDA margin to rise to about 36%, with the fourth-quarter margin slightly below the year-earlier level [4]. The company also authorized up to an additional $12 billion of Class A stock repurchases, on top of $2.7 billion remaining at the end of September, after buying back $0.7 billion of shares in the quarter [4].
Cloudflare reported revenue of $782.5 million, up 39% from $562.0 million a year earlier, according to its press release [5]. Current remaining performance obligations, a measure of contracted future revenue, rose 37% [5]. On a generally accepted accounting principles basis, the company posted a net loss of $34.1 million, or $0.10 per share. On a non-GAAP basis it earned $0.38 per diluted share, up from $0.27, with free cash flow of $82.1 million, a 10% margin [5]. Seeking Alpha noted that the non-GAAP figure compared with a $0.34 analyst estimate [3].
Cloudflare lifted its guidance. It expects fourth-quarter revenue of $845.0 million to $846.0 million and non-GAAP earnings of $0.43 per share, and full-year revenue of $2.963 billion to $2.964 billion with non-GAAP earnings of $1.35 per share [5]. Seeking Alpha's headline described the full-year guidance as raised [3].
The reaction matters because of the backdrop. Yahoo Finance reported that chip and AI-related stocks drove Thursday's selloff, with the S&P 500 down 4.36% and the VIX up about 70% to 28.18 [1]. Airbnb is a consumer travel platform, and Cloudflare sells network and security services whose demand is tied to AI traffic, so strong guidance from both points to demand holding up in parts of the economy outside the chip trade. After-hours moves are often thinner and more volatile than regular-session trading, however, and can fade or reverse once the next session opens.
Several other companies were also scheduled to report after the close, including Lumentum, IonQ and Lyft, but their results were not verified for this article. Investors will look first to how Airbnb and Cloudflare open on Friday, and then to the October employment report, which Yahoo Finance described as a key data point after Thursday's rout [1].
Sources:
[1] Yahoo Finance, "Stock market today: Dow plunges 1,800 points, Nasdaq enters correction in AI trade meltdown", November 5, 2026. https://finance.yahoo.com/markets/live/stock-market-today-thursday-november-5-dow-sp-500-nasdaq-oil-rises-chip-stocks-141439950.html
[2] Reuters via Global Banking & Finance, "Airbnb Raises 2026 Revenue Forecast on Strong Global Travel Demand", November 5, 2026. https://www.globalbankingandfinance.com/airbnb-lifts-annual-revenue-growth-forecast-resilient-global/
[3] Seeking Alpha, "Cloudflare catapults as Q3 revenue surges 39%; raises full-year guidance (NET:NYSE)", November 5, 2026. https://seekingalpha.com/news/4667167-cloudflare-catapults-as-q3-revenue-surges-39-raises-full-year-guidance
[4] Airbnb, "Q3 2026 Shareholder Letter" (Form 8-K exhibit 99.1), November 5, 2026. https://www.sec.gov/Archives/edgar/data/0001559720/000119312526449727/d437988dex991.htm
[5] Cloudflare, "Cloudflare Announces Third Quarter 2026 Financial Results" (via StockTitan), November 5, 2026. https://www.stocktitan.net/news/NET/cloudflare-announces-third-quarter-2026-financial-e4dhao7zi9oi.html
This article was produced with AI assistance. It is for informational purposes only and is not financial advice. StockVolt and its authors may hold positions in securities mentioned.