Travel + Leisure (NYSE:TNL) Issues Earnings Results

Key Points

• Travel + Leisure reported EPS of $1.45, beating estimates of $1.31, and revenue of $961.0 million (vs. $954.8M), with revenue up 2.9% year‑over‑year; net margin was 5.74% while return on equity was negative 47.77%.
• Shares fell about 10.5% intraday to $68.15 despite the beat; the stock has a market cap of $4.25B, a P/E of ~20 and a 52‑week range of $42.40–$81.00.
• The company raised its quarterly dividend to $0.60 (annualized $2.40) for a ~3.5% yield, even as insiders sold roughly 121,738 shares (~$9.14M) in the past 90 days.

Travel + Leisure (NYSE:TNL - Get Free Report) released its earnings results on Wednesday. The company reported $1.45 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.31 by $0.14, Zacks reports. The company had revenue of $961.00 million for the quarter, compared to analyst estimates of $954.81 million. Travel + Leisure had a net margin of 5.74% and a negative return on equity of 47.77%. The firm's quarterly revenue was up 2.9% on a year-over-year basis. During the same period in the prior year, the business earned $1.11 EPS.

Travel + Leisure Trading Down 10.5%

Shares of NYSE TNL traded down $8.00 during mid-day trading on Wednesday, reaching $68.15. The company had a trading volume of 265,091 shares, compared to its average volume of 647,981. The firm has a 50 day simple moving average of $72.91 and a two-hundred day simple moving average of $69.63. The stock has a market cap of $4.25 billion, a P/E ratio of 19.96, a PEG ratio of 0.58 and a beta of 1.32. Travel + Leisure has a 52-week low of $42.40 and a 52-week high of $81.00.

Travel + Leisure Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Friday, March 20th were given a $0.60 dividend. This is a positive change from Travel + Leisure's previous quarterly dividend of $0.56. The ex-dividend date of this dividend was Friday, March 20th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 3.5%. Travel + Leisure's payout ratio is 70.38%.

Wall Street Analyst Weigh In

A number of brokerages have commented on TNL. Oppenheimer reissued an "outperform" rating and issued a $85.00 price objective on shares of Travel + Leisure in a research report on Wednesday, February 18th. Weiss Ratings downgraded shares of Travel + Leisure from a "buy (b)" rating to a "hold (c+)" rating in a research report on Friday, February 20th. Barclays set a $78.00 price objective on shares of Travel + Leisure in a research report on Thursday, February 19th. The Goldman Sachs Group increased their price objective on shares of Travel + Leisure from $71.00 to $81.00 and gave the company a "neutral" rating in a research report on Thursday, February 19th. Finally, Deutsche Bank Aktiengesellschaft reissued a "buy" rating and issued a $90.00 price objective on shares of Travel + Leisure in a research report on Friday, February 20th. Eight analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $85.90.

Insider Activity at Travel + Leisure

In related news, insider Amandine Robin-Caplan sold 3,904 shares of the stock in a transaction on Friday, February 20th. The shares were sold at an average price of $74.61, for a total value of $291,277.44. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director George Herrera sold 1,748 shares of the stock in a transaction on Wednesday, March 18th. The shares were sold at an average price of $70.31, for a total transaction of $122,901.88. Following the completion of the transaction, the director directly owned 1,853 shares in the company, valued at $130,284.43. This trade represents a 48.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 121,738 shares of company stock valued at $9,136,054 in the last ninety days. Insiders own 4.01% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Danske Bank A S acquired a new stake in shares of Travel + Leisure in the 3rd quarter worth $30,000. Geneos Wealth Management Inc. lifted its stake in shares of Travel + Leisure by 293.0% in the 1st quarter. Geneos Wealth Management Inc. now owns 959 shares of the company's stock worth $44,000 after acquiring an additional 715 shares during the period. Advisory Services Network LLC acquired a new stake in shares of Travel + Leisure in the 3rd quarter worth $112,000. EverSource Wealth Advisors LLC lifted its stake in shares of Travel + Leisure by 327.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,741 shares of the company's stock worth $141,000 after acquiring an additional 2,100 shares during the period. Finally, Kestra Advisory Services LLC acquired a new stake in shares of Travel + Leisure in the 4th quarter worth $161,000. 87.54% of the stock is owned by hedge funds and other institutional investors.

About Travel + Leisure

Travel + Leisure Co NYSE: TNL is a leisure travel company headquartered in Orlando, Florida, that specializes in vacation ownership, membership programs and branded travel experiences. The company operates an extensive portfolio of vacation clubs and destination services, offering members access to resorts, hotels, cruises and guided tours in markets around the world. Through its flagship membership brands, Travel + Leisure Co provides curated vacation packages, exchange services and unique travel itineraries that cater to both individual and family travelers.

In addition to its membership offerings, Travel + Leisure Co manages a network of resort properties and hospitality assets across North America, the Caribbean, Europe and Asia-Pacific.

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