Park Hotels & Resorts
Market Cap
US$5.6b
Last Updated
2020/02/21 01:59 UTC
Data Sources
Company Financials +
Executive Summary
Park is the second largest publicly traded lodging REIT with a diverse portfolio of market-leading hotels and resorts with significant underlying real estate value.
Rewards
Risk Analysis
Snowflake Analysis
Good value average dividend payer.
Similar Companies
Share Price & News
How has Park Hotels & Resorts's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PK has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.2%
PK
-0.2%
US REITs
0.06%
US Market
1 Year Return
-27.1%
PK
15.9%
US REITs
19.3%
US Market
Return vs Industry: PK underperformed the US REITs industry which returned 15.9% over the past year.
Return vs Market: PK underperformed the US Market which returned 19.3% over the past year.
Shareholder returns
| PK | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.2% | -0.2% | 0.06% |
| 30 Day | -4.2% | 3.7% | 1.7% |
| 90 Day | 4.5% | 7.8% | 9.0% |
| 1 Year | -21.8%-27.1% | 20.6%15.9% | 21.8%19.3% |
| 3 Year | 14.0%-9.9% | 37.5%20.3% | 49.5%39.9% |
| 5 Year | n/a | 59.9%27.0% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Park Hotels & Resorts's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Investors Who Bought Park Hotels & Resorts (NYSE:PK) Shares A Year Ago Are Now Down 21%1 month ago | Simply Wall St
With A 3.8% Return On Equity, Is Park Hotels & Resorts Inc. (NYSE:PK) A Quality Stock?2 months ago | Simply Wall St
Is There Now An Opportunity In Park Hotels & Resorts Inc. (NYSE:PK)?Valuation
Is Park Hotels & Resorts undervalued compared to its fair value and its price relative to the market?
37.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PK ($23.35) is trading below our estimate of fair value ($37.09)
Significantly Below Fair Value: PK is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PK is good value based on its PE Ratio (20.1x) compared to the REITs industry average (37.2x).
PE vs Market: PK is poor value based on its PE Ratio (20.1x) compared to the US market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: PK is poor value based on its PEG Ratio (1.6x)
Price to Book Ratio
PB vs Industry: PK is good value based on its PB Ratio (0.9x) compared to the US REITs industry average (2.1x).
Next Steps
Future Growth
How is Park Hotels & Resorts forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
12.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PK's forecast earnings growth (12.5% per year) is above the savings rate (1.7%).
Earnings vs Market: PK's earnings (12.5% per year) are forecast to grow slower than the US market (14.2% per year).
High Growth Earnings: PK's earnings are forecast to grow, but not significantly.
Revenue vs Market: PK's revenue (5.7% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: PK's revenue (5.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PK's Return on Equity is forecast to be low in 3 years time (6.5%).
Next Steps
Past Performance
How has Park Hotels & Resorts performed over the past 5 years?
3.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PK has high quality earnings.
Growing Profit Margin: PK's current net profit margins (8.7%) are lower than last year (17.2%).
Past Earnings Growth Analysis
Earnings Trend: PK's earnings have grown by 3.8% per year over the past 5 years.
Accelerating Growth: PK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PK had negative earnings growth (-50.6%) over the past year, making it difficult to compare to the REITs industry average (6.7%).
Return on Equity
High ROE: PK's Return on Equity (3.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Park Hotels & Resorts's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: PK has a high level of physical assets or inventory.
Debt Coverage by Assets: PK's debt is not covered by short term assets (assets are 0.2x debt).
Financial Institutions Analysis
Asset Level: PK's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if PK has a sufficient allowance for bad loans.
Low Risk Liabilities: PK reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if PK has an acceptable proportion of non-loan assets held.
Low Risk Deposits: PK has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if PK has an appropriate level of bad loans.
Next Steps
Dividend
What is Park Hotels & Resorts's current dividend yield, its reliability and sustainability?
7.71%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: PK's dividend (7.71%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: PK's dividend (7.71%) is in the top 25% of dividend payers in the US market (3.71%)
Stability and Growth of Payments
Stable Dividend: PK has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: PK's dividend payments have increased, but the company has only paid a dividend for 3 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (97.1%), PK's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PK's dividends in 3 years are forecast to be thoroughly covered by earnings (0.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.5yrs
Average management tenure
CEO
Tom Baltimore (56yo)
3.2yrs
Tenure
US$7,601,165
Compensation
Mr. Thomas Jeremiah Baltimore Jr., also known as Tom, has been Director at AutoNation, Inc. since April 18, 2019. He has been the Chief Executive Officer and President at Park Hotels & Resorts Inc. since M ...
CEO Compensation Analysis
Compensation vs Market: Tom's total compensation ($USD7.60M) is about average for companies of similar size in the US market ($USD6.36M).
Compensation vs Earnings: Tom's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 3.2yrs | US$7.60m | 0.23% $13.1m | |
| Executive VP | 3.2yrs | US$2.50m | 0.068% $3.8m | |
| Executive VP | 0.08yrs | US$2.20m | 0.037% $2.1m | |
| Senior VP & Chief Accounting Officer | 3.2yrs | no data | 0.012% $658.5k | |
| Senior Vice President of Corporate Strategy | 0yrs | no data | no data | |
| Executive Vice President of Human Resources | 3.1yrs | no data | 0.016% $887.6k | |
| Senior Vice President of Tax | 0yrs | no data | no data | |
| Senior VP of Financial Planning & Analysis | 1.9yrs | no data | no data | |
| Executive VP of Design & Construction | 1.4yrs | no data | 0.022% $1.2m | |
| Senior Vice President of Investments | 0.08yrs | no data | no data |
2.5yrs
Average Tenure
46yo
Average Age
Experienced Management: PK's management team is considered experienced (2.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 3.2yrs | US$7.60m | 0.23% $13.1m | |
| Lead Independent Director | 3.1yrs | US$278.43k | 0.0065% $360.5k | |
| Independent Director | 3.1yrs | US$255.74k | 0.016% $904.4k | |
| Independent Director | 3.1yrs | US$255.52k | 0.011% $623.8k | |
| Independent Director | 0.4yrs | no data | 0.012% $664.6k | |
| Independent Director | 0.4yrs | no data | 0.041% $2.3m | |
| Independent Director | 3.1yrs | US$243.04k | 0.011% $592.5k | |
| Independent Director | 3.2yrs | US$260.81k | 0.011% $636.1k | |
| Independent Director | 2.7yrs | US$235.84k | 0.0056% $311.3k | |
| Independent Director | 3.1yrs | US$244.20k | 0.0065% $360.5k |
3.1yrs
Average Tenure
62yo
Average Age
Experienced Board: PK's board of directors are considered experienced (3.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Park Hotels & Resorts Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Park Hotels & Resorts Inc.
- Ticker: PK
- Exchange: NYSE
- Founded:
- Industry: Hotel and Resort REITs
- Sector: Real Estate
- Market Cap: US$5.590b
- Shares outstanding: 239.39m
- Website: https://www.pkhotelsandresorts.com
Number of Employees
Location
- Park Hotels & Resorts Inc.
- 1775 Tysons Boulevard
- 7th Floor
- Tysons
- Virginia
- 22102
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PK | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 2016 |
| HIP | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 2016 |
| 0KFU | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Dec 2016 |
Biography
Park is the second largest publicly traded lodging REIT with a diverse portfolio of market-leading hotels and resorts with significant underlying real estate value. Park’s portfolio currently consists of 66 premium-branded hotels and resorts with over 35,000 rooms primarily located in prime city center and resort locations, which includes 18 hotels with approximately 6,000 rooms acquired in the Chesapeake Lodging Trust acquisition.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/21 01:59 |
| End of Day Share Price | 2020/02/20 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.