NYSE:HGV

Stock Analysis Report

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Market Cap

US$3.4b

Last Updated

2021/07/25 22:27 UTC

Data Sources

Company Financials +

Executive Summary

Hilton Grand Vacations Inc., a timeshare company, develops, markets, sells, and manages vacation ownership resorts primarily under the Hilton Grand Vacations brand. More Details


Snowflake Analysis

High growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has Hilton Grand Vacations's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HGV is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: HGV's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.6%

HGV

3.7%

US Hospitality

2.0%

US Market


1 Year Return

99.1%

HGV

49.8%

US Hospitality

39.1%

US Market

Return vs Industry: HGV exceeded the US Hospitality industry which returned 49.8% over the past year.

Return vs Market: HGV exceeded the US Market which returned 39.1% over the past year.


Shareholder returns

HGVIndustryMarket
7 Day2.6%3.7%2.0%
30 Day-5.4%-5.5%1.6%
90 Day-7.3%-9.9%3.5%
1 Year99.1%99.1%50.4%49.8%41.3%39.1%
3 Year17.7%17.7%4.0%-0.2%64.0%53.8%
5 Yearn/a54.7%43.4%123.9%99.0%

Long-Term Price Volatility Vs. Market

How volatile is Hilton Grand Vacations's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hilton Grand Vacations undervalued compared to its fair value and its price relative to the market?

9.28x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: HGV ($40.02) is trading above our estimate of fair value ($2.81)

Significantly Below Fair Value: HGV is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HGV is unprofitable, so we can't compare its PE Ratio to the US Hospitality industry average.

PE vs Market: HGV is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HGV's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HGV is overvalued based on its PB Ratio (9.3x) compared to the US Hospitality industry average (3.4x).


Future Growth

How is Hilton Grand Vacations forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

79.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HGV is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: HGV is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: HGV's is expected to become profitable in the next 3 years.

Revenue vs Market: HGV's revenue (34.2% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: HGV's revenue (34.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HGV's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Hilton Grand Vacations performed over the past 5 years?

-21.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HGV is currently unprofitable.

Growing Profit Margin: HGV is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HGV is unprofitable, and losses have increased over the past 5 years at a rate of 21.4% per year.

Accelerating Growth: Unable to compare HGV's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: HGV is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (10.1%).


Return on Equity

High ROE: HGV has a negative Return on Equity (-58.54%), as it is currently unprofitable.


Financial Health

How is Hilton Grand Vacations's financial position?


Financial Position Analysis

Short Term Liabilities: HGV's short term assets ($2.3B) exceed its short term liabilities ($231.0M).

Long Term Liabilities: HGV's short term assets ($2.3B) do not cover its long term liabilities ($2.5B).


Debt to Equity History and Analysis

Debt Level: HGV's debt to equity ratio (502.4%) is considered high.

Reducing Debt: HGV had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: HGV's debt is not well covered by operating cash flow (4.7%).

Interest Coverage: Insufficient data to determine if HGV's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Hilton Grand Vacations's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate HGV's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate HGV's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HGV's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HGV's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HGV's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Mark Wang (64 yo)

4.5yrs

Tenure

US$6,945,285

Compensation

Mr. Mark D. Wang has been the Chief Executive Officer and President of Hilton Grand Vacations Inc. (HGV) since January 3, 2017 & March 2008 respectively. Mr. Wang serves as an Executive Vice President at H...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD6.95M) is above average for companies of similar size in the US market ($USD5.32M).

Compensation vs Earnings: Mark's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: HGV's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: HGV's board of directors are considered experienced (4.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HGV insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Hilton Grand Vacations Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hilton Grand Vacations Inc.
  • Ticker: HGV
  • Exchange: NYSE
  • Founded: 1992
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: US$3.430b
  • Shares outstanding: 85.72m
  • Website: https://www.hiltongrandvacations.com

Number of Employees


Location

  • Hilton Grand Vacations Inc.
  • 6355 Metrowest Boulevard
  • Suite 180
  • Orlando
  • Florida
  • 32835
  • United States

Listings


Biography

Hilton Grand Vacations Inc., a timeshare company, develops, markets, sells, and manages vacation ownership resorts primarily under the Hilton Grand Vacations brand. The company operates in two segments, Re...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/25 22:27
End of Day Share Price2021/07/23 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.