NYSE:PK

Stock Analysis Report

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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. More Details


Snowflake Analysis

High growth potential and fair value.


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 is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: PK's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.


Market Performance


7 Day Return

-2.6%

PK

3.2%

US REITs

-0.4%

US Market


1 Year Return

-29.2%

PK

-10.7%

US REITs

19.5%

US Market

Return vs Industry: PK underperformed the US REITs industry which returned -10.7% over the past year.

Return vs Market: PK underperformed the US Market which returned 19.6% over the past year.


Shareholder returns

PKIndustryMarket
7 Day-2.6%3.2%-0.4%
30 Day1.4%0.8%2.3%
90 Day74.2%4.9%12.7%
1 Year-25.4%-29.2%-6.5%-10.7%22.3%19.5%
3 Year-27.7%-42.0%24.8%9.4%44.4%34.8%
5 Yearn/a54.3%22.6%128.7%103.3%

Long-Term 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

Valuation

Is Park Hotels & Resorts undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PK ($17.33) is trading below our estimate of fair value ($116.01)

Significantly Below Fair Value: PK is trading below fair value by more than 20%.


Price To Earnings Ratio

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

PE vs Market: PK 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 PK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PK is good value based on its PB Ratio (0.8x) compared to the US REITs industry average (1.6x).


Next Steps

Future Growth

How is Park Hotels & Resorts forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

90.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: PK's revenue (34.5% per year) is forecast to grow faster than the US market (10.3% per year).

High Growth Revenue: PK's revenue (34.5% per year) is forecast to grow faster 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 (5.2%).


Next Steps

Past Performance

How has Park Hotels & Resorts performed over the past 5 years?

-36.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PK is currently unprofitable.

Growing Profit Margin: PK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PK is unprofitable, and losses have increased over the past 5 years at a rate of 36.7% per year.

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

Earnings vs Industry: PK is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (2.9%).


Return on Equity

High ROE: PK has a negative Return on Equity (-21.76%), as it is currently unprofitable.


Next Steps

Financial Health

How is Park Hotels & Resorts's financial position?


Financial Position Analysis

Short Term Liabilities: PK's short term assets ($1.2B) exceed its short term liabilities ($168.0M).

Long Term Liabilities: PK's short term assets ($1.2B) do not cover its long term liabilities ($5.6B).


Debt to Equity History and Analysis

Debt Level: PK's debt to equity ratio (100.7%) is considered high.

Reducing Debt: PK's debt to equity ratio has reduced from 150.2% to 100.7% over the past 5 years.

Debt Coverage: PK's operating cash flow is negative, therefore debt is not well covered.

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


Balance Sheet


Next Steps

Dividend

What is Park Hotels & Resorts's current dividend yield, its reliability and sustainability?

1.57%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate PK'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 PK's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: PK is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PK'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?

2.8yrs

Average management tenure


CEO

Tom Baltimore (57 yo)

4.08yrs

Tenure

US$6,824,939

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 ($USD6.82M) is above average for companies of similar size in the US market ($USD5.01M).

Compensation vs Earnings: Tom's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Baltimore
Chairman4.08yrsUS$6.82m0.37%
$ 15.1m
Sean Dell'Orto
Executive VP4.08yrsUS$2.55m0.094%
$ 3.8m
Thomas Morey
Executive VP & Chief Investment Officer1yrUS$1.91m0.061%
$ 2.5m
Carl Mayfield
Executive Vice President of Design & Construction2.33yrsUS$1.87m0.041%
$ 1.7m
Darren Robb
Senior VP & Chief Accounting Officer4.08yrsno data0.021%
$ 856.2k
Ian Weissman
Senior Vice President of Corporate Strategyno datano datano data
Nancy Vu
Senior VP0.25yrno data0.0092%
$ 373.3k
Jill Olander
Executive Vice President of Human Resources4yrsno data0.032%
$ 1.3m
Scott Winer
Senior Vice President of Taxno datano datano data
Diem Larsen
Senior VP of Financial Planning & Analysis2.83yrsno datano data
Jonathan Fuisz
Senior Vice President of Investments1yrno datano data

2.8yrs

Average Tenure

47yo

Average Age

Experienced Management: PK's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Baltimore
Chairman4.08yrsUS$6.82m0.37%
$ 15.1m
Gordon Bethune
Lead Independent Director4yrsUS$270.03k0.015%
$ 593.2k
Stephen Sadove
Independent Director4yrsUS$247.80k0.029%
$ 1.2m
Timothy Naughton
Independent Director4yrsUS$247.44k0.024%
$ 971.0k
Thomas Eckert
Independent Director1.33yrsUS$108.79k0.037%
$ 1.5m
Thomas Natelli
Independent Director1.33yrsUS$108.79k0.070%
$ 2.8m
Patricia Bedient
Independent Director4yrsUS$234.92k0.023%
$ 926.6k
Christie Kelly
Independent Director4.08yrsUS$252.42k0.024%
$ 988.9k
Geoffrey Garrett
Independent Director3.58yrsUS$227.93k0.014%
$ 556.6k
Joseph Lieberman
Independent Director4yrsUS$236.65k0.015%
$ 593.2k

4.0yrs

Average Tenure

63yo

Average Age

Experienced Board: PK's board of directors are considered experienced (4 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.


Recent Insider Transactions

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$4.071b
  • Shares outstanding: 235.61m
  • Website: https://www.pkhotelsandresorts.com

Number of Employees


Location

  • Park Hotels & Resorts Inc.
  • 1775 Tysons Boulevard
  • 7th Floor
  • Tysons
  • Virginia
  • 22102
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PKNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2016
HIPDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2016
0KFULSE (London Stock Exchange)YesCommon StockGBUSDDec 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 6...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/20 00:18
End of Day Share Price2021/01/19 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.