Park Hotels & Resorts Inc. (NYSE:PK) Plans Dividend Increase – $0.65 Per Share

Park Hotels & Resorts Inc. (NYSE:PK) announced a quarterly dividend on Tuesday, November 26th,RTT News reports. Investors of record on Tuesday, December 31st will be paid a dividend of 0.65 per share by the financial services provider on Wednesday, January 15th. This represents a $2.60 dividend on an annualized basis and a dividend yield of 16.77%. This is a positive change from Park Hotels & Resorts’s previous quarterly dividend of $0.25.

Park Hotels & Resorts has increased its dividend by an average of 10.1% per year over the last three years. Park Hotels & Resorts has a payout ratio of 109.9% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Park Hotels & Resorts to earn $2.19 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 45.7%.

Park Hotels & Resorts Stock Performance

Shares of NYSE:PK opened at $15.50 on Tuesday. The company has a current ratio of 1.51, a quick ratio of 1.51 and a debt-to-equity ratio of 1.24. Park Hotels & Resorts has a 1-year low of $13.23 and a 1-year high of $18.05. The stock has a market capitalization of $3.20 billion, a P/E ratio of 9.87, a P/E/G ratio of 0.83 and a beta of 2.02. The business has a 50-day moving average price of $14.45 and a two-hundred day moving average price of $14.73.

Park Hotels & Resorts (NYSE:PK) last announced its quarterly earnings data on Tuesday, October 29th. The financial services provider reported $0.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.21). Park Hotels & Resorts had a net margin of 12.66% and a return on equity of 9.63%. The business had revenue of $649.00 million during the quarter, compared to the consensus estimate of $646.15 million. During the same period in the previous year, the business posted $0.51 earnings per share. Park Hotels & Resorts’s revenue was down 4.4% compared to the same quarter last year. Equities analysts predict that Park Hotels & Resorts will post 2.09 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on PK shares. UBS Group increased their price target on shares of Park Hotels & Resorts from $14.00 to $15.00 and gave the company a “neutral” rating in a research report on Monday, November 18th. Wolfe Research cut shares of Park Hotels & Resorts from an “outperform” rating to a “peer perform” rating in a research report on Thursday, September 26th. Truist Financial lowered their price objective on shares of Park Hotels & Resorts from $20.00 to $18.00 and set a “buy” rating for the company in a research report on Wednesday, September 4th. Wells Fargo & Company lifted their target price on Park Hotels & Resorts from $14.50 to $16.00 and gave the stock an “equal weight” rating in a report on Tuesday. Finally, Compass Point decreased their target price on Park Hotels & Resorts from $25.00 to $20.00 and set a “buy” rating for the company in a research note on Thursday, October 31st. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating and six have assigned a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $18.23.

About Park Hotels & Resorts

Park is one of the largest publicly traded lodging REITs with a diverse portfolio of market-leading hotels and resorts with significant underlying real estate value. Park's portfolio currently consists of 43 premium-branded hotels and resorts with over 26,000 rooms primarily located in prime city center and resort locations.