Trump Advisor David Sacks Critiques California's Billionaire Wealth Tax as Asset Seizure

Written by Emily J. Thompson, Senior Investment Analyst

ABNB+0.17%

NVDA+0.52%

Source: CNBC

Updated: Jan 21 2026

0mins

Source: CNBC

Wealth Tax Controversy: Trump’s AI and crypto advisor David Sacks criticized California's proposed billionaire wealth tax as an 'asset seizure,' claiming it represents an unprecedented move in U.S. history that could have profound economic implications.
Tax Details: The Billionaire Tax Act proposes a one-time 5% tax on residents with a net worth exceeding $1 billion, set to take effect on January 1, 2026, which could drive high-net-worth individuals out of California, impacting state revenue significantly.
Legislative Outlook: Sacks believes the bill has a good chance of passing and could set a precedent for similar legislation in other states, exacerbating tax competition among states and influencing migration decisions for businesses and individuals.
Corporate Response: While some large companies like Nvidia and OpenAI's CEOs plan to remain in California, Sacks noted that smaller businesses are more flexible and may opt to leave, potentially undermining California's business environment and tax base.

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ABNB

$131.77+Infinity%1D

Analyst Views on ABNB

Wall Street analysts forecast ABNB stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ABNB is 144.85 USD with a low forecast of 107.00 USD and a high forecast of 180.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

29 Analyst Rating

12 Buy

16 Hold

1 Sell

Moderate Buy

Current: 131.550

Low

107.00

Averages

144.85

High

180.00

Current: 131.550

Low

107.00

Averages

144.85

High

180.00

Barclays

Underweight -> Equal Weight

upgrade

$107 -> $120

2026-01-09

Reason

Barclays

Price Target

$107 -> $120

AI Analysis

2026-01-09

upgrade

Underweight -> Equal Weight

Reason

Barclays upgraded Airbnb to Equal Weight from Underweight with a price target of $120, up from $107. The firm sees upside to room nights for the company from reserve now pay later, hotels and the World Cup. Airbnb should experience improving margins in 2026, the analyst tells investors in a research note. However, Barclays says the stock's valuation is "still a bit rich."

Wells Fargo

Ken Gawrelski

Underweight -> Equal Weight

upgrade

$118 -> $128

2026-01-09

Reason

Wells Fargo

Ken Gawrelski

Price Target

$118 -> $128

2026-01-09

upgrade

Underweight -> Equal Weight

Reason

Wells Fargo analyst Ken Gawrelski upgraded Airbnb to Equal Weight from Underweight with a price target of $128, up from $118. The firm cites two years of share underperformance combined with a portfolio of upside options, highlighted by the hotel supply and sponsored listings opportunities, and relative insulation from AI risk as the opportunity. Wells further anticipates downside risk to estimates more limited given 12 months and beyond into reinvestment period with limited market expectation for payoff, healthy travel industry outlook, and expansion of RNPL offering.

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About ABNB

Airbnb, Inc. operates a global platform for stays and experiences. The Company’s marketplace model connects hosts and guests online or through mobile devices to book spaces and experiences around the world. The Company has built its platform to onboard new hosts, especially those who previously had not considered hosting. It partners with hosts throughout the process of setting up their listing and provides them with a suite of tools to manage their listings, including scheduling, merchandising, integrated payments, community support, host protection, pricing guidance, and feedback from reviews. Its Website and mobile applications provide its guests with a way to explore a variety of homes and experiences and an easy way to book them. Its technology platform powers its two-sided marketplace and enables its global network of hosts and guests. It owns a trademark portfolio with protection in 220 countries in which it operates for its primary brands, AIRBNB, and its Belo logo.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.