- Hyatt’s adjusted earnings per share (EPS) for the second quarter is 68 cents, slightly beating the estimated 64 cents, but lower than the previous year’s $1.53.
- The adjusted EBITDA for the quarter stands at $303 million, marginally down by 1.3% year-over-year, beating the estimate of $292.7 million.
- Revenue for the quarter increased by 6.2% to $1.81 billion, surpassing the estimate of $1.73 billion.
- System-wide comparable revenue per available room (RevPAR) rose by 1.6% year-over-year.
- Hyatt forecasts adjusted EBITDA for the full year between $1.09 billion and $1.13 billion, narrowing down from the previous range of $1.08 billion to $1.14 billion.
- The company maintains their RevPAR forecast of a 1% to 3% increase for the year.
- Hyatt still expects a net room growth between 6% to 7% and capital expenditure to be around $150 million.
- Guidance figures do not account for impacts from the Playa Hotels Acquisition and Playa Real Estate Transaction.
- The RevPAR outlook suggests flat growth at the low end and a 2% increase at the high end for the remainder of the year, with potential improvement in the U.S. market by the fourth quarter.
- Hyatt has reinstated its 2025 capital return plan, aiming to return approximately $300 million to shareholders via dividends and share repurchases.
- CEO Mark S. Hoplamazian noted solid performance in the quarter, emphasizing strong fee contributions despite lower RevPAR growth.
- Current analyst ratings include 10 buys, 11 holds, and 0 sells.
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Hyatt Hotels Corp Cl A on Smartkarma
Hyatt Hotels Corp Cl A has been under the spotlight of analyst coverage on Smartkarma, a platform for top independent analysts to publish their research. Baptista Research, a notable provider on the platform, released several insights regarding Hyatt Hotels Corp Cl A.
One report titled “Hyatt’s Asset-Light Ambition Could Ignite Stock Rally After $2.6 Billion Resort Sale” commends Hyatt’s strategic move towards an asset-light model through a significant $2.6 billion sale of its Playa Hotels & Resorts. Another report titled “Hyatt Hotels Corporation Surges Ahead as Owned Properties Deliver Record-Breaking Returns!” highlights the company’s solid operational performance and successful shift towards an asset-light approach, resulting in reduced earnings volatility.
A look at Hyatt Hotels Corp Cl A Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Hyatt Hotels Corp. is positioning itself for long-term success according to Smartkarma Smart Scores. With a top score for Growth and strong Momentum, the company shows promise for expansion and sustained performance. While Value and Resilience are steady at mid-range scores, Hyatt Hotels Corp. has room for improvement in Dividend returns. As a global hospitality powerhouse managing various properties worldwide, including branded hotels, resorts, and residential accommodations, the outlook is optimistic for Hyatt Hotels Corp. Cl A.
Smartkarma Smart Scores highlight Hyatt Hotels Corp. as a company with a solid Growth trajectory and positive Momentum, indicating a promising future for investors. With a diverse portfolio of managed, franchised, owned, and developed hospitality properties across the globe, Hyatt Hotels Corp. is well-positioned for long-term success. While Value and Resilience scores are steady, there’s potential for enhancement in the Dividend category. Investors may view Hyatt Hotels Corp. Cl A as a strong contender in the hospitality industry, poised for growth and development.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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