Hilton Worldwide Holdings Inc. Stays Strong Amid Market Fluctuations
With a market cap of $62.6 billion, Hilton Worldwide Holdings Inc. (HLT) continues to be a powerhouse in global hospitality. Based in McLean, Virginia, the company boasts a diverse range of prestigious hotel brands, known for providing excellent guest experiences and leading the way in innovation within the industry.
Large-Cap Leader in Hospitality
Often classified as a “large-cap stock,” Hilton stands out with its substantial market presence and leadership in hospitality. The company’s focus on top-notch guest services and groundbreaking hotel advancements speaks to its resilience and capability to adapt in a competitive, changing landscape.
Current Stock Performance
Despite a slight decrease from its 52-week high of $259.01 reached on December 6, Hilton’s stock has shown impressive growth. In the last three months, shares have risen by 21.4%, outpacing the 8% gains of the broader Dow Jones Industrial Average ($DOWI) during the same period.
Long-Term Growth Trends
Over the last year, HLT stock has appreciated by 45.2%, with a 41.1% increase year-to-date. This performance exceeds both the Dow’s YTD growth of 17.1% and its annual return of 22.3%. A positive trend is visible as HLT has consistently traded above its 50-day moving average since early November, while also maintaining its position above the 200-day moving average for most of the year.
Q3 Earnings Report Highlights
On October 23, Hilton Worldwide released its Q3 earnings report, which produced mixed results that caused a 1.9% decline in the stock price. Revenue climbed by 7.3% year-over-year to $2.87 billion but fell short of the expected $2.91 billion. Meanwhile, the company’s adjusted EPS came in at $1.92, exceeding forecasts by 4.3%, and it reported an EBITDA of $904 million, which beat predictions by 1.9%.
2023 Outlook and Market Position
Management reaffirmed its full-year guidance, forecasting adjusted EPS of $6.98 and midpoint EBITDA of $3.39 billion, aligning well with market expectations and demonstrating confidence in ongoing operations.
In comparison, rival Marriott International, Inc. (MAR) has seen a 34.8% rise over the past year and a 29.4% increase year-to-date, underperforming Hilton’s stocks during the same periods.
Looking ahead, analysts remain cautiously optimistic about Hilton Worldwide with a consensus “Moderate Buy” rating among 22 analysts, alongside a mean price target of $239.24, indicating that the stock trades at a premium.
On the date of publication,
Rashmi Kumari
did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy
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The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.
