Hilton Grand Vacations (NYSE:HGV) Hits New 52-Week Low on Analyst Downgrade

Shares of Hilton Grand Vacations Inc. (NYSE:HGV) hit a new 52-week low on Tuesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The stock traded as low as $33.99 and last traded at $34.01, with a volume of 1201646 shares trading hands. The stock had previously closed at $34.86.

A number of other brokerages also recently weighed in on HGV. Mizuho lowered their price target 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. Morgan Stanley reduced their price objective on Hilton Grand Vacations from $58.00 to $54.00 and set an “equal weight” rating on the stock in a research note on Tuesday, August 18th. Wall Street Zen lowered shares of Hilton Grand Vacations from a “buy” rating to a “hold” rating in a research note on Saturday, August 1st. The Goldman Sachs Group dropped their target price on shares of Hilton Grand Vacations from $55.00 to $47.00 and set a “neutral” rating on the stock in a report on Friday, July 31st. Finally, Truist Financial reduced their price target on shares of Hilton Grand Vacations from $71.00 to $69.00 and set a “buy” rating on the stock in a research report on Thursday, September 10th. Four investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Hilton Grand Vacations currently has a consensus rating of “Hold” and an average price target of $54.67.

Insider Activity

In related news, insider Charles Corbin, Jr. sold 20,691 shares of the stock in a transaction that occurred 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 completion of the transaction, the insider directly owned 47,924 shares of the company’s stock, valued at $2,247,635.60. This represents a 30.16% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Corporate insiders own 3.10% of the company’s stock.

Hedge Funds Weigh In On Hilton Grand Vacations

A number of institutional investors and hedge funds have recently added to or reduced their stakes in HGV. Persistent Asset Partners Ltd acquired a new stake in Hilton Grand Vacations during the second quarter valued at approximately $63,000. Bard Associates Inc. acquired a new position in Hilton Grand Vacations in the fourth quarter worth approximately $29,000. Leonteq Securities AG increased its holdings in shares of Hilton Grand Vacations by 189.7% in the first quarter. Leonteq Securities AG now owns 672 shares of the company’s stock valued at $26,000 after buying an additional 440 shares in the last quarter. Nykredit A S bought a new position in shares of Hilton Grand Vacations in the second quarter valued at $38,000. Finally, Allworth Financial LP acquired a new stake in shares of Hilton Grand Vacations during the 2nd quarter valued at $43,000. 97.23% of the stock is owned by institutional investors.

Hilton Grand Vacations Price Performance

The company has a market cap of $2.69 billion, a price-to-earnings ratio of 19.55, a P/E/G ratio of 0.36 and a beta of 1.61. The company has a current ratio of 5.02, a quick ratio of 3.20 and a debt-to-equity ratio of 6.18. The business has a 50-day moving average price of $40.92 and a 200 day moving average price of $45.52.

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

Hilton Grand Vacations declared that its Board of Directors has approved a share buyback plan on Thursday, August 20th that authorizes the company to buyback $600.00 million in outstanding shares. This buyback authorization authorizes the company to repurchase up to 17% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its stock is undervalued.

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.