Overview
US hotel operator's Q1 adjusted EPS beat analyst expectations
Company Q1 revenue rose to $2.94 bln, with system-wide RevPAR up 3.6% yr/yr
Hilton repurchased 2.7 mln shares, returning $860 mln to shareholders in Q1
Outlook
Hilton sees full-year 2026 system-wide RevPAR up 2.0%-3.0% on a currency neutral basis
Company expects full-year 2026 adjusted EPS of $8.79-$8.91 and adjusted EBITDA of $4.02-$4.06 bln
Hilton projects Q2 2026 adjusted EPS of $2.18-$2.24 and adjusted EBITDA of $1.02-$1.04 bln
Result Drivers
REVPAR GROWTH - System-wide comparable RevPAR rose 3.6% yr/yr due to increases in both occupancy and ADR
FEE REVENUE INCREASE - Management and franchise fee revenues increased 10.4% yr/yr
DEVELOPMENT PIPELINE EXPANSION - Development pipeline reached record 527,000 rooms, with 26,200 rooms approved for development in Q1
Company press release: ID:nBw26gjTja
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$2.94 bln
Q1 Adjusted EPS
Beat
$2.01
$1.97 (19 Analysts)
Q1 EPS
$1.66
Q1 Net Income
$383 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 13 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy"
Wall Street's median 12-month price target for Hilton Worldwide Holdings Inc is $345.00, about 3.8% above its April 27 closing price of $332.45
The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 31 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)