Hilton Grand Vacations (NYSE:HGV) Trading Down 8.9% Following Weak Earnings

Key Points

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Hilton Grand Vacations Inc. (NYSE:HGV - Get Free Report) shares traded down 8.9% during trading on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $46.00 and last traded at $46.26. 406,800 shares changed hands during mid-day trading, a decline of 59% from the average session volume of 1,000,780 shares. The stock had previously closed at $50.78.

The company reported $0.54 EPS for the quarter, missing the consensus estimate of $0.78 by ($0.24). Hilton Grand Vacations had a return on equity of 9.71% and a net margin of 1.14%. The company had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.38 billion. During the same period last year, the company posted $0.62 EPS. The business's revenue for the quarter was up 2.5% on a year-over-year basis.

Analysts Set New Price Targets

Several equities analysts recently commented on the stock. Mizuho upped their price target on shares of Hilton Grand Vacations from $73.00 to $76.00 and gave the stock an "outperform" rating in a research report on Friday. Morgan Stanley dropped their price target on shares of Hilton Grand Vacations from $46.00 to $38.00 and set an "overweight" rating for the company in a research report on Tuesday, April 22nd. JMP Securities reaffirmed a "market outperform" rating and set a $50.00 price target on shares of Hilton Grand Vacations in a research report on Monday, May 5th. The Goldman Sachs Group reaffirmed a "sell" rating and set a $39.00 price target on shares of Hilton Grand Vacations in a research report on Friday. Finally, Barclays boosted their price objective on shares of Hilton Grand Vacations from $42.00 to $49.00 and gave the stock an "equal weight" rating in a research note on Friday. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and four have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $48.25.

Insider Transactions at Hilton Grand Vacations

In other Hilton Grand Vacations news, insider Charles R. Jr. Corbin sold 51,000 shares of the business's stock in a transaction that occurred on Friday, May 9th. The shares were sold at an average price of $38.78, for a total transaction of $1,977,780.00. Following the completion of the sale, the insider directly owned 60,270 shares in the company, valued at $2,337,270.60. The trade was a 45.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 2.70% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in HGV. Norges Bank purchased a new position in shares of Hilton Grand Vacations in the fourth quarter valued at $33,047,000. Arrowstreet Capital Limited Partnership purchased a new position in shares of Hilton Grand Vacations in the fourth quarter valued at $6,428,000. Wells Fargo & Company MN boosted its stake in shares of Hilton Grand Vacations by 39.2% in the fourth quarter. Wells Fargo & Company MN now owns 35,522 shares of the company's stock valued at $1,384,000 after purchasing an additional 9,999 shares during the period. Bank of Montreal Can boosted its stake in shares of Hilton Grand Vacations by 5.1% in the fourth quarter. Bank of Montreal Can now owns 7,447 shares of the company's stock valued at $290,000 after purchasing an additional 361 shares during the period. Finally, Invesco Ltd. boosted its stake in shares of Hilton Grand Vacations by 34.9% in the fourth quarter. Invesco Ltd. now owns 360,072 shares of the company's stock valued at $14,025,000 after purchasing an additional 93,168 shares during the period. 97.23% of the stock is currently owned by hedge funds and other institutional investors.

Hilton Grand Vacations Stock Up 0.9%

The firm has a market capitalization of $4.00 billion, a PE ratio of 81.69, a P/E/G ratio of 5.10 and a beta of 1.65. The firm's 50 day moving average price is $43.36 and its two-hundred day moving average price is $40.20. The company has a quick ratio of 2.77, a current ratio of 4.43 and a debt-to-equity ratio of 4.31.

About Hilton Grand Vacations

Hilton Grand Vacations Inc, a timeshare company, develops, markets, sells, manages, and operates the resorts, plans and ancillary reservation services under the Hilton Grand Vacations brand. It operates through Real Estate Sales and Financing, and Resort Operations and Club Management segments. Real Estate Sales and Financing segment market and sells the VOIs, and source VOIs through fee-for-service agreements with third-party developers; and provides consumer financing and services loans.