Park Hotels & Resorts Inc. (NYSE:PK) Stock Has Average Target Price of $15.91

Key Points

• Analyst sentiment is neutral: Fourteen firms have a consensus “Hold” rating on Park Hotels & Resorts, with an average 12-month price target of $15.91. Recent target increases include BMO Capital Markets at $18 and Raymond James at $19.
• Shares are trading near their 52-week high: PK opened at $16.13, compared with a 52-week range of $9.84 to $16.38, while its 50-day and 200-day moving averages are $15.37 and $13.85, respectively.
• The company maintains a high dividend yield but faces profitability concerns: Park Hotels paid a quarterly dividend of $0.25, equivalent to a 6.2% annualized yield, despite a negative net margin and negative return on equity. Institutional investors own approximately 92.69% of the stock.

Shares of Park Hotels & Resorts Inc. (NYSE:PK - Get Free Report) have been assigned a consensus recommendation of "Hold" from the fourteen research firms that are currently covering the stock, Marketbeat.com reports. One analyst has rated the stock with a sell recommendation, nine have assigned a hold recommendation, three have given a buy recommendation and one has given a strong buy recommendation to the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $15.91.

A number of equities research analysts have commented on PK shares. BMO Capital Markets raised shares of Park Hotels & Resorts from a "market perform" rating to an "outperform" rating and lifted their target price for the stock from $14.00 to $18.00 in a research report on Tuesday, September 1st. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $18.00 target price on shares of Park Hotels & Resorts in a research note on Friday, August 14th. Raymond James Financial raised Park Hotels & Resorts from a "market perform" rating to a "strong-buy" rating and set a $19.00 price target on the stock in a report on Monday, September 28th. Truist Financial raised their price target on Park Hotels & Resorts from $13.00 to $17.00 and gave the stock a "hold" rating in a research note on Thursday, September 10th. Finally, Barclays raised their price target on Park Hotels & Resorts from $12.00 to $14.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 27th.

Park Hotels & Resorts Stock Performance

Shares of NYSE PK opened at $16.13 on Tuesday. The firm's 50-day moving average price is $15.37 and its 200-day moving average price is $13.85. Park Hotels & Resorts has a 52-week low of $9.84 and a 52-week high of $16.38. The company has a market cap of $3.25 billion, a PE ratio of -19.43 and a beta of 1.36. The company has a quick ratio of 1.53, a current ratio of 1.53 and a debt-to-equity ratio of 1.29.

Park Hotels & Resorts (NYSE:PK - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The financial services provider reported $0.24 earnings per share for the quarter, meeting the consensus estimate of $0.24. The firm had revenue of $680.00 million during the quarter, compared to analysts' expectations of $659.68 million. Park Hotels & Resorts had a negative net margin of 6.41% and a negative return on equity of 5.23%. The firm's quarterly revenue was up 1.2% on a year-over-year basis. During the same period in the previous year, the company earned $0.64 earnings per share. Park Hotels & Resorts has set its FY 2026 guidance at 1.900-2.000 EPS. As a group, analysts anticipate that Park Hotels & Resorts will post 1.86 EPS for the current year.

Park Hotels & Resorts Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th were issued a $0.25 dividend. The ex-dividend date of this dividend was Wednesday, September 30th. This represents a $1.00 dividend on an annualized basis and a yield of 6.2%. Park Hotels & Resorts's dividend payout ratio is currently -120.48%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. IFP Advisors Inc boosted its stake in shares of Park Hotels & Resorts by 48.7% during the 3rd quarter. IFP Advisors Inc now owns 7,534 shares of the financial services provider's stock worth $116,000 after acquiring an additional 2,469 shares during the last quarter. NorthCrest Asset Manangement LLC purchased a new stake in shares of Park Hotels & Resorts in the 3rd quarter worth $160,000. Wedmont Private Capital purchased a new stake in shares of Park Hotels & Resorts in the 3rd quarter worth $179,000. Post Resch Tallon Group Inc. increased its stake in shares of Park Hotels & Resorts by 4.7% in the 3rd quarter. Post Resch Tallon Group Inc. now owns 35,933 shares of the financial services provider's stock worth $554,000 after purchasing an additional 1,615 shares in the last quarter. Finally, GAMMA Investing LLC increased its stake in shares of Park Hotels & Resorts by 19.2% in the 3rd quarter. GAMMA Investing LLC now owns 16,736 shares of the financial services provider's stock worth $258,000 after purchasing an additional 2,691 shares in the last quarter. 92.69% of the stock is owned by hedge funds and other institutional investors.

About Park Hotels & Resorts

Park Hotels & Resorts Inc NYSE: PK is a real estate investment trust that owns and leases a portfolio of hotels and resorts. The company focuses primarily on upper-upscale and luxury properties in high-demand business and leisure destinations.

Park's portfolio includes full-service hotels operating under well-known hospitality brands, including Hilton, Hyatt and Marriott, as well as independent properties. Its hotels provide lodging, food and beverage, meeting and event facilities, resort amenities and other guest services.

Park Hotels & Resorts was formed in 2016 and became an independent, publicly traded company in 2017 after being spun off from Hilton Worldwide Holdings.

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