Park Hotels & Resorts Sees Unusually Large Options Volume (NYSE:PK)

Key Points

• Unusually high bearish options activity: Traders bought 3,901 put options in Park Hotels & Resorts, 549% above the average volume of 601 contracts.
• Shares rose modestly: PK gained 0.8% to $15.29, while the company reported quarterly revenue of $680 million and earnings of $0.24 per share, matching consensus estimates.
• Analysts remain cautious overall: The stock has an average “Hold” rating and a $15.91 price target, despite one strong-buy upgrade and a recently declared quarterly dividend yielding approximately 6.5%.

Park Hotels & Resorts Inc. (NYSE:PK - Get Free Report) saw unusually large options trading on Monday. Traders bought 3,901 put options on the company. This represents an increase of 549% compared to the average volume of 601 put options.

Park Hotels & Resorts Trading Up 0.8%

NYSE:PK traded up $0.12 during midday trading on Monday, hitting $15.29. 931,236 shares of the company traded hands, compared to its average volume of 4,287,578. The firm has a market capitalization of $3.08 billion, a P/E ratio of -18.39 and a beta of 1.36. The firm's fifty day moving average is $15.27 and its 200-day moving average is $13.63. Park Hotels & Resorts has a 12-month low of $9.84 and a 12-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 EPS for the quarter, hitting 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 company had revenue of $680.00 million during the quarter, compared to analyst estimates of $659.68 million. During the same period in the previous year, the firm earned $0.64 earnings per share. Park Hotels & Resorts's quarterly revenue was up 1.2% compared to the same quarter last year. Park Hotels & Resorts has set its FY 2026 guidance at 1.900-2.000 EPS. On average, sell-side analysts predict that Park Hotels & Resorts will post 1.86 EPS for the current year.

Park Hotels & Resorts Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Wednesday, September 30th will be issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 6.5%. The ex-dividend date is Wednesday, September 30th. Park Hotels & Resorts's dividend payout ratio is presently -120.48%.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on PK shares. Truist Financial raised their price target on Park Hotels & Resorts from $13.00 to $17.00 and gave the company a "hold" rating in a report on Thursday, September 10th. JPMorgan Chase & Co. raised their target price on shares of Park Hotels & Resorts from $13.00 to $14.00 and gave the company an "underweight" rating in a report on Monday, August 10th. Raymond James Financial raised shares of 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 research note on Monday, September 28th. UBS Group upgraded shares of Park Hotels & Resorts from a "neutral" rating to a "hold" rating in a research report on Monday, September 28th. Finally, Weiss Ratings raised shares of Park Hotels & Resorts from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Tuesday, August 11th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Park Hotels & Resorts presently has an average rating of "Hold" and an average price target of $15.91.

Institutional Trading of Park Hotels & Resorts

Several institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new position in Park Hotels & Resorts during the 2nd quarter worth about $444,311,000. Donald Smith & CO. Inc. purchased a new position in Park Hotels & Resorts in the 2nd quarter worth $207,120,000. Bank of America Corp DE acquired a new position in shares of Park Hotels & Resorts in the second quarter valued at about $136,488,000. Aegis Financial Corp purchased a new position in shares of Park Hotels & Resorts in the second quarter worth about $21,735,000. Finally, Bank of New York Mellon Corp acquired a new stake in shares of Park Hotels & Resorts during the second quarter worth about $21,293,000. Institutional investors own 92.69% of the company's stock.

Park Hotels & Resorts Company Profile

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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