New York, February 17, 2026, 17:31 EST — After-hours
- Airbnb shares picked up in after-hours trading following the global launch of its “Reserve Now, Pay Later” feature.
- Strong demand, the company says, is coming in for the option on eligible bookings.
- This week, investors are eyeing results from peers, looking for signals on where travel demand stands.
Airbnb (ABNB.O) climbed 2.4% to $124.23 in after-hours trading Tuesday, following news that the company’s “Reserve Now, Pay Later” feature is now available globally. Shares moved between $120.98 and $127.30 during regular hours. (Airbnb Newsroom)
This rollout is significant: flexible payments are now a hotly contested corner of the travel sector. Companies want to lock in bookings sooner, sidestepping the need to slash top-line prices. Investors, for their part, are watching closely to see just how much appetite consumers have for discretionary travel this year.
Reserve-now, pay-later works like a spin on “buy now, pay later” (BNPL) — instead of paying the full amount right away, customers get to put off payment. That might nudge hesitant travelers to book pricier trips, though it does raise the odds of cancellations if plans change.
Ellie Mertz, Airbnb’s Chief Financial Officer, told analysts during the fourth-quarter earnings call that the option is driving longer booking lead times and pushing demand toward bigger whole-home listings. She noted that overall cancellations ticked up in the quarter but downplayed the effect. (TechCrunch)
Shares reacted as U.S. equities edged up, with tech names reversing earlier declines and major indexes ending just shy of unchanged. Focus stayed on inflation and rate expectations. (Reuters)
Holiday Inn parent InterContinental Hotels Group is pinning hopes on the 2026 soccer World Cup to give U.S. travel a lift, following yet another quarterly slide in U.S. room revenue. The statement highlights just how patchy demand can get, even across similar corners of the travel industry. (Reuters)
Last week, Airbnb projected first-quarter revenue that topped Wall Street’s expectations. The company noted guests are opting for pricier properties. But there’s a catch—Airbnb cautioned it isn’t anticipating any increase in its adjusted core profit margin this year, citing plans to reinvest as well as a continued push into services and hotel partnerships. The pivot comes as stricter rental regulations squeeze supply in some cities. (Reuters)
The pay-later trend is a double-edged sword. Sure, it can boost bookings with added flexibility, but it also risks driving up cancellations and could leave results vulnerable if demand slows or hosts start seeing more empty nights right before check-in.
Booking Holdings will drop its fourth-quarter numbers around 4 p.m. ET on Feb. 18, offering investors a fresh look at the online travel sector. (Nasdaq)
