News Flash: Analysts Just Made A Notable Upgrade To Their Ryman Hospitality Properties, Inc. (NYSE:RHP) Forecasts

Ryman Hospitality Properties, Inc. (NYSE:RHP) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The analysts have sharply increased their revenue numbers, with a view that Ryman Hospitality Properties will make substantially more sales than they'd previously expected.

After the upgrade, the five analysts covering Ryman Hospitality Properties are now predicting revenues of US$824m in 2021. If met, this would reflect a substantial 59% improvement in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing US$736m of revenue in 2021. It looks like there's been a clear increase in optimism around Ryman Hospitality Properties, given the decent improvement in revenue forecasts.

Check out our latest analysis for Ryman Hospitality Properties

The consensus price target rose 13% to US$74.33, with the analysts clearly more optimistic about Ryman Hospitality Properties' prospects following this update. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Ryman Hospitality Properties at US$90.00 per share, while the most bearish prices it at US$47.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Ryman Hospitality Properties shareholders.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that Ryman Hospitality Properties' rate of growth is expected to accelerate meaningfully, with the forecast 59% annualised revenue growth to the end of 2021 noticeably faster than its historical growth of 0.6% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 5.6% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Ryman Hospitality Properties is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. They're also forecasting more rapid revenue growth than the wider market. There was also a nice increase in the price target, with analysts apparently feeling that the intrinsic value of the business is improving. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Ryman Hospitality Properties.

But wait - there's more! At least one of Ryman Hospitality Properties' five analysts has provided estimates out to 2023, which can be seen for free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

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This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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