The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Hyatt Hotels (NYSE: H) and the rest of the travel and vacation providers stocks fared in Q4.
Airlines, hotels, resorts, and cruise line companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted from buying "things" (wasteful) to buying "experiences" (memorable). In addition, the internet has introduced new ways of approaching leisure and lodging such as booking homes and longer-term accommodations. Traditional airlines, hotel, resorts, and cruise line companies must innovate to stay relevant in a market rife with innovation.
The 19 travel and vacation providers stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 2.2% while next quarter’s revenue guidance was 6.8% above.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 29.9% since the latest earnings results.
Weakest Q4: Hyatt Hotels (NYSE: H)
Founded in 1957, Hyatt Hotels (NYSE: H) is a global hospitality company with a portfolio of 20 premier brands and over 950 properties across 65 countries.
Hyatt Hotels reported revenues of $1.60 billion, down 3.5% year on year. This print fell short of analysts’ expectations by 3.1%. Overall, it was a softer quarter for the company with a significant miss of analysts’ adjusted operating income and EPS estimates.
Hyatt Hotels delivered the weakest performance against analyst estimates of the whole group. The stock is down 35.8% since reporting and currently trades at $104.17.
Read our full report on Hyatt Hotels here, it’s free.
Best Q4: Pursuit (NYSE: PRSU)
With attractions ranging from glacier tours in the Canadian Rockies to an oceanfront geothermal lagoon in Iceland, Pursuit Attractions and Hospitality (NYSE: PRSU) operates iconic travel experiences, experiential marketing services, and exhibition management across North America and Europe.
Pursuit reported revenues of $45.8 million, down 84.3% year on year, outperforming analysts’ expectations by 8.8%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and full-year EBITDA guidance exceeding analysts’ expectations.
The market seems unhappy with the results as the stock is down 19.4% since reporting. It currently trades at $29.93.
Is now the time to buy Pursuit? Access our full analysis of the earnings results here, it’s free.
Hilton Grand Vacations (NYSE: HGV)
Spun off from Hilton Worldwide in 2017, Hilton Grand Vacations (NYSE: HGV) is a global timeshare company that provides travel experiences for its customers through its timeshare resorts and club membership programs.
Hilton Grand Vacations reported revenues of $1.28 billion, up 26% year on year, exceeding analysts’ expectations by 0.9%. Still, it was a softer quarter as it posted a significant miss of analysts’ EPS estimates and a miss of analysts’ adjusted operating income estimates.
As expected, the stock is down 20% since the results and currently trades at $32.41.
Read our full analysis of Hilton Grand Vacations’s results here.
Marriott (NASDAQ: MAR)
Founded by J. Willard Marriott in 1927, Marriott International (NASDAQ: MAR) is a global hospitality company with a portfolio of over 7,000 properties and 30 brands, spanning 130+ countries and territories.
Marriott reported revenues of $6.43 billion, up 5.5% year on year. This result surpassed analysts’ expectations by 0.6%. More broadly, it was a mixed quarter as it also produced a decent beat of analysts’ EPS estimates but EBITDA guidance for next quarter missing analysts’ expectations.
The stock is down 31.6% since reporting and currently trades at $207.99.
Read our full, actionable report on Marriott here, it’s free.
Wyndham (NYSE: WH)
Established in 1981, Wyndham (NYSE: WH) is a global hotel franchising company with over 9,000 hotels across nearly 95 countries on six continents.
Wyndham reported revenues of $341 million, up 6.2% year on year. This print came in 1.9% below analysts' expectations. Aside from that, it was a mixed quarter as it also logged a decent beat of analysts’ EPS estimates but a miss of analysts’ adjusted operating income estimates.
The stock is down 26.6% since reporting and currently trades at $79.99.
Read our full, actionable report on Wyndham here, it’s free.
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