Starwood Hotels & Resorts Worldwide Upgraded to “Buy” at Nomura (HOT)
Starwood Hotels & Resorts Worldwide (NYSE:HOT) was upgraded by equities researchers at Nomura from a “neutral” rating to a “buy” rating in a research report issued on Monday, TheFlyOnTheWall.com reports.
The analysts wrote, “Our upgrade of HOT to Buy is driven by rolling forward target prices to reflect 2014/2015E EBITDA. HOT should reach $89 over 12 months, and $95 over 18 months, based on our calculations, or upside of 20% and 28%, respectively. Investment Positives are: Long/deep cycle; Leading international exposure; High operating leverage; Room for margin expansion; Increasing free cash flow and Option value of asset sales. We assume that HOT’s 2013 EBITDA multiple is constant. Although HOT is a consumer cyclical, its multiple has stayed fairly steady in economic expansions until supply growth hits the ‘Danger Zone’ of 120k-140k rooms.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Jefferies Group raised their price target on shares of Starwood Hotels & Resorts Worldwide from $66.00 to $72.00 in a research note to investors on Wednesday, November 6th. They now have a “hold” rating on the stock. Separately, analysts at Thomson Reuters/Verus downgraded shares of Starwood Hotels & Resorts Worldwide from a “hold” rating to a “sell” rating in a research note to investors on Monday, November 4th. Finally, analysts at Argus raised their price target on shares of Starwood Hotels & Resorts Worldwide from $76.00 to $85.00 in a research note to investors on Tuesday, October 29th. They now have a “buy” rating on the stock. One research analyst has rated the stock with a sell rating, ten have issued a hold rating and fifteen have assigned a buy rating to the stock. The stock presently has a consensus rating of “Buy” and an average target price of $74.35.
In other Starwood Hotels & Resorts Worldwide news, CAO Kenneth Siegel sold 4,596 shares of the company’s stock in a transaction dated Monday, December 9th. The stock was sold at an average price of $73.97, for a total transaction of $339,966.12. Following the sale, the chief accounting officer now directly owns 61,313 shares in the company, valued at approximately $4,535,323. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.
Starwood Hotels & Resorts Worldwide (NYSE:HOT) last issued its quarterly earnings data on Thursday, October 24th. The company reported $0.71 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.63 by $0.08. The company had revenue of $1.51 billion for the quarter, compared to the consensus estimate of $1.48 billion. During the same quarter in the prior year, the company posted $0.58 earnings per share. The company’s quarterly revenue was up 3.6% on a year-over-year basis.
Starwood Hotels & Resorts Worldwide, Inc (NYSE:HOT) is a hotel and leisure company.
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