Park Hotels & Resorts Inc. (NYSE:PK) Plans Quarterly Dividend of $0.25

Key Points

• Park Hotels & Resorts declared a quarterly dividend of $0.25 per share, payable October 15 to shareholders of record September 30. The annualized payout is $1.00 per share, representing a 6.5% yield.
• The dividend currently exceeds earnings coverage, with a payout ratio of 172.4%; however, analysts expect next year’s earnings to support a lower projected payout ratio of 54.6%.
• Analysts have a consensus “Hold” rating and an average price target of $15.33, while recent quarterly revenue of $680 million exceeded expectations and EPS matched estimates at $0.24.

Park Hotels & Resorts Inc. (NYSE:PK - Get Free Report) announced a quarterly dividend on Friday, July 31st. Shareholders of record on Wednesday, September 30th will be given a dividend of $0.25 per share by the financial services provider on Thursday, October 15th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 6.5%. The ex-dividend date is Wednesday, September 30th.

Park Hotels & Resorts has raised its dividend payment by an average of 0.2%annually over the last three years and has increased its dividend every year for the last 1 years. Park Hotels & Resorts has a payout ratio of 172.4% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect Park Hotels & Resorts to earn $1.83 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 54.6%.

Park Hotels & Resorts Trading Up 0.2%

Shares of NYSE:PK opened at $15.46 on Monday. The company has a 50 day moving average of $15.20 and a 200-day moving average of $13.29. The firm has a market cap of $3.11 billion, a P/E ratio of -18.63, a P/E/G ratio of 1.96 and a beta of 1.33. Park Hotels & Resorts has a twelve month low of $9.84 and a twelve month high of $16.20. The company has a current ratio of 1.53, a quick ratio of 1.53 and a debt-to-equity ratio of 1.29.

Park Hotels & Resorts (NYSE:PK - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The financial services provider reported $0.24 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.24. Park Hotels & Resorts had a negative net margin of 6.41% and a negative return on equity of 5.23%. The business had revenue of $680.00 million during the quarter, compared to analysts' expectations of $659.68 million. During the same period last year, the firm posted $0.64 earnings per share. The business's revenue was up 1.2% on a year-over-year basis. 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 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of analysts have recently commented on PK shares. LADENBURG THALM/SH SH boosted their price objective on Park Hotels & Resorts from $16.00 to $20.00 and gave the stock a "buy" rating in a research note on Tuesday, June 16th. Raymond James Financial set a $19.00 target price on Park Hotels & Resorts and gave the stock a "strong-buy" rating in a report on Monday. Cantor Fitzgerald boosted their price target on shares of Park Hotels & Resorts from $12.00 to $15.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 11th. Barclays upped their price target on shares of Park Hotels & Resorts from $12.00 to $14.00 and gave the company an "equal weight" rating in a report on Thursday, August 27th. Finally, Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $18.00 price objective on shares of Park Hotels & Resorts in a research report on Friday, August 14th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Park Hotels & Resorts currently has a consensus rating of "Hold" and a consensus target price of $15.33.

About Park Hotels & Resorts

Park Hotels & Resorts Inc NYSE: PK is a lodging real estate investment trust that owns and invests in a portfolio of hotels and resorts across the United States. The company's properties are generally located in prominent business, convention and leisure destinations and operate under well-known hospitality brands, including Hilton, Marriott and Hyatt.

Park Hotels & Resorts generates revenue primarily through the operation of its hotel properties, which provide lodging, food and beverage, meeting and event space, and other guest services.

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