What Hilton Worldwide (HLT) Investors Need to Know Today

Hilton Worldwide moved -2.3% this afternoon session, trading between a high of $154.42 and a low of $148.88 per share. Yesterday the stock finished at $153.67 per share, compared to an average analyst target price of $163.81.

Hilton Worldwide Holdings Inc., a hospitality company, engages in managing, franchising, owning, and leasing hotels and resorts. The large-cap hotels/resorts company is based in the United States, and over the last twelve months it has returned a dividend yield of 0.4%. Hilton Worldwide has trailing twelve months earnings per share (EPS) of 4.76, which at today's prices amounts to a price to earnings (P/E) ratio of 31.5.

Based on its expected future earnings growth, the company has a price to earnings growth (PEG) ratio of 1.58. Usually a PEG ratio between 0 and 1 indicates a potentially undervalued company.

Snapshot of Hilton Worldwide's Operating Margins:

Date Reported Total Revenue ($ k) Operating Expenses ($ k) Operating Margins (%) YoY Growth (%)
2023-02-09 8,773,000 -5,680,000 24 33.33
2022-02-16 5,788,000 -4,092,000 18 700.0
2021-02-17 4,307,000 -3,806,000 -3 -117.65
2020-02-11 9,452,000 -6,622,000 17 0.0
2019-02-13 8,906,000 -6,091,000 17 13.33
2018-02-14 8,131,000 -5,674,000 15

Over the last 6 years, Hilton Worldwide's operating margins have averaged 14.7%, which is better than the 7.25% Lodging industry average. We also note that the company's operating margins have a high coefficient of variability at 62.6%. In addition, the firm's margins benefit from a 8.1% yearly growth rate.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.