Hilton Grand Vacations (NYSE:HGV) Cut to Strong Sell at Zacks Research

Zacks Research lowered shares of Hilton Grand Vacations (NYSE:HGV) from a hold rating to a strong sell rating in a research note published on Monday,Zacks reports.

Several other brokerages have also recently issued reports on HGV. Susquehanna began coverage on shares of Hilton Grand Vacations in a report on Tuesday, August 18th. They issued a “neutral” rating and a $50.00 target price on the stock. Morgan Stanley decreased their target price on shares of Hilton Grand Vacations from $58.00 to $54.00 and set an “equal weight” rating for the company in a research note on Tuesday, August 18th. The Goldman Sachs Group lowered their price target on Hilton Grand Vacations from $55.00 to $47.00 and set a “neutral” rating on the stock in a report on Friday, July 31st. Barclays dropped their price target on Hilton Grand Vacations from $51.00 to $46.00 and set an “equal weight” rating on the stock in a research note on Friday, July 31st. Finally, Mizuho cut their price objective on Hilton Grand Vacations from $75.00 to $74.00 and set an “outperform” rating for the company in a report on Friday, July 31st. Four investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Hilton Grand Vacations currently has an average rating of “Hold” and a consensus price target of $54.67.

Hilton Grand Vacations Price Performance

HGV opened at $34.61 on Monday. The company has a debt-to-equity ratio of 6.18, a quick ratio of 3.20 and a current ratio of 5.02. The stock has a market capitalization of $2.69 billion, a P/E ratio of 19.55, a P/E/G ratio of 0.36 and a beta of 1.61. The company’s 50-day simple moving average is $40.92 and its two-hundred day simple moving average is $45.52. Hilton Grand Vacations has a 52-week low of $33.99 and a 52-week high of $55.40.

Hilton Grand Vacations (NYSE:HGV) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.89 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.94 by ($0.05). Hilton Grand Vacations had a net margin of 2.86% and a return on equity of 20.40%. The company had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.38 billion. During the same period in the previous year, the business earned $0.54 EPS. The business’s revenue was up 7.3% compared to the same quarter last year. As a group, analysts predict that Hilton Grand Vacations will post 4.4 EPS for the current year.

Hilton Grand Vacations announced that its board has approved a stock repurchase program on Thursday, August 20th that authorizes the company to repurchase $600.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 17% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, insider Charles Corbin, Jr. sold 20,691 shares of the firm’s stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $46.90, for a total value of $970,407.90. Following the transaction, the insider directly owned 47,924 shares of the company’s stock, valued at approximately $2,247,635.60. This trade represents a 30.16% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 3.10% of the company’s stock.

Institutional Trading of Hilton Grand Vacations

Several hedge funds have recently bought and sold shares of HGV. Persistent Asset Partners Ltd acquired a new stake in Hilton Grand Vacations in the 2nd quarter valued at about $63,000. Oregon Public Employees Retirement Fund boosted its holdings in shares of Hilton Grand Vacations by 3.4% during the 1st quarter. Oregon Public Employees Retirement Fund now owns 12,322 shares of the company’s stock worth $482,000 after purchasing an additional 400 shares during the last quarter. Leonteq Securities AG boosted its holdings in shares of Hilton Grand Vacations by 189.7% during the 1st quarter. Leonteq Securities AG now owns 672 shares of the company’s stock worth $26,000 after purchasing an additional 440 shares during the last quarter. Bard Associates Inc. purchased a new stake in shares of Hilton Grand Vacations in the fourth quarter valued at approximately $29,000. Finally, Nykredit A S purchased a new stake in shares of Hilton Grand Vacations in the second quarter valued at approximately $38,000. Institutional investors own 97.23% of the company’s stock.

Hilton Grand Vacations Company Profile

Hilton Grand Vacations Inc (NYSE:HGV) is a global vacation ownership company that develops, markets, sells and manages timeshare interests and related travel experiences. Through its vacation ownership programs, customers purchase points or interests that can be used for stays at a network of resorts and accommodations, often with access to exchange and reservation services.

The company operates a portfolio of vacation ownership brands and offerings, including Hilton Grand Vacations, Hilton Club, HGV Max and properties associated with Diamond Resorts and Bluegreen Vacations.