Travel + Leisure (NYSE:TNL) Rating Lowered to "Strong Sell" at Zacks Research

Key Points

• Zacks Research downgraded Travel + Leisure from “hold” to “strong sell,” contrasting with the broader analyst consensus of “Moderate Buy” and an average price target of $85.25.
• Travel + Leisure shares opened at $64.88, below the consensus target, while the company’s latest quarterly results met EPS expectations at $1.88 and exceeded revenue estimates with $1.06 billion.
• Insiders sold 53,944 shares worth approximately $4.05 million in the last quarter, while institutional investors own 87.54% of the company.

Travel + Leisure (NYSE:TNL - Get Free Report) was downgraded by research analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued to clients and investors on Thursday, Zacks reports.

TNL has been the topic of several other research reports. Wells Fargo & Company dropped their target price on shares of Travel + Leisure from $92.00 to $90.00 and set an "overweight" rating on the stock in a research report on Monday. Barclays upped their price target on shares of Travel + Leisure from $74.00 to $77.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 23rd. Mizuho upped their price target on shares of Travel + Leisure from $105.00 to $107.00 and gave the stock an "outperform" rating in a research report on Thursday, July 23rd. Morgan Stanley reaffirmed an "overweight" rating and issued a $86.00 price target on shares of Travel + Leisure in a research note on Thursday. Finally, Weiss Ratings reiterated a "buy (b-)" rating on shares of Travel + Leisure in a report on Monday. Eleven investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Travel + Leisure currently has an average rating of "Moderate Buy" and an average target price of $85.25.

Travel + Leisure Price Performance

Shares of NYSE:TNL opened at $64.88 on Thursday. Travel + Leisure has a 1 year low of $60.34 and a 1 year high of $81.00. The firm has a market capitalization of $3.97 billion, a price-to-earnings ratio of 17.73, a price-to-earnings-growth ratio of 0.69 and a beta of 1.19. The business's 50 day moving average price is $66.06 and its 200-day moving average price is $70.03.

Travel + Leisure (NYSE:TNL - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The company reported $1.88 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $1.88. The firm had revenue of $1.06 billion for the quarter, compared to analysts' expectations of $1.04 billion. Travel + Leisure had a net margin of 5.81% and a negative return on equity of 46.91%. The firm's revenue for the quarter was up 4.4% compared to the same quarter last year. During the same quarter last year, the company earned $1.65 EPS. On average, sell-side analysts expect that Travel + Leisure will post 7.47 earnings per share for the current year.

Insider Transactions at Travel + Leisure

In other news, CAO Thomas Michael Duncan sold 20,000 shares of the company's stock in a transaction that occurred on Wednesday, August 26th. The stock was sold at an average price of $74.16, for a total value of $1,483,200.00. Following the completion of the sale, the chief accounting officer directly owned 5,307 shares in the company, valued at $393,567.12. This represents a 79.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Geoffrey Richards sold 33,744 shares of the stock in a transaction that occurred on Monday, July 27th. The shares were sold at an average price of $75.65, for a total value of $2,552,733.60. Following the completion of the sale, the insider directly owned 1,600 shares of the company's stock, valued at approximately $121,040. This represents a 95.47% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 53,944 shares of company stock valued at $4,051,734. 4.01% of the stock is owned by insiders.

Institutional Trading of Travel + Leisure

Several hedge funds have recently made changes to their positions in the company. Signaturefd LLC grew its position in Travel + Leisure by 53.8% in the 3rd quarter. Signaturefd LLC now owns 1,666 shares of the company's stock valued at $103,000 after acquiring an additional 583 shares in the last quarter. Iridian Asset Management LLC CT lifted its position in shares of Travel + Leisure by 1.0% during the third quarter. Iridian Asset Management LLC CT now owns 198,075 shares of the company's stock worth $12,255,000 after purchasing an additional 1,873 shares in the last quarter. Sterling Capital Management LLC boosted its stake in shares of Travel + Leisure by 4.1% in the third quarter. Sterling Capital Management LLC now owns 31,318 shares of the company's stock valued at $1,938,000 after purchasing an additional 1,238 shares during the period. Quadrant Capital Group LLC increased its stake in Travel + Leisure by 16.9% during the 3rd quarter. Quadrant Capital Group LLC now owns 5,967 shares of the company's stock worth $376,000 after buying an additional 861 shares during the period. Finally, Diversify Advisory Services LLC increased its stake in Travel + Leisure by 4.0% during the 3rd quarter. Diversify Advisory Services LLC now owns 9,682 shares of the company's stock worth $632,000 after buying an additional 375 shares during the period. Hedge funds and other institutional investors own 87.54% of the company's stock.

About Travel + Leisure

Travel + Leisure Co NYSE: TNL is a hospitality and leisure travel company that operates vacation ownership, exchange, and membership businesses. The company provides travelers with access to resort accommodations, vacation experiences, travel services, and related lifestyle offerings through a portfolio of consumer brands.

Its vacation ownership business includes brands such as Club Wyndham, WorldMark by Wyndham, and Margaritaville Vacation Club, offering members interests in vacation properties and access to resort destinations.

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