Goldman Sachs chief credit strategist Lotfi Karoui departs after 18 years - Bloomberg
Investing.com - Bernstein raised its price target on Hyatt Hotels (NYSE:H) to $177.00 from $167.00 on Wednesday, while maintaining an Outperform rating on the stock. According to InvestingPro data, Hyatt currently trades at a P/E ratio of 32.77x and an EV/EBITDA multiple of 23.84x, suggesting premium valuations relative to historical averages.
The price target increase reflects Bernstein’s application of a 13.5x NTM+1 EBITDA multiple, which remains unchanged from its previous valuation model.
Bernstein attributes Hyatt’s recent stock underperformance primarily to investor concerns about capital allocation, noting the company has announced only a $300 million shareholder return program, representing 2.2% of its market capitalization.
The research firm forecasts that Hyatt’s share buyback program could double into 2026 based solely on rising free cash flow, without factoring in additional potential cash sources.
Bernstein also expects the buyback program to be "materially enhanced" by up to eight property disposals by the end of next year and a potential one-time inflow from credit card fee renegotiation, potentially making Hyatt the most generous cash returner over the next 36 months.
In other recent news, Hyatt Hotels Corporation reported its second-quarter 2025 earnings, exceeding Wall Street expectations. The company achieved an earnings per share of $0.68, surpassing the projected $0.65. Additionally, Hyatt’s revenue reached $1.75 billion, slightly above the anticipated $1.74 billion. These results highlight the company’s strong financial performance and strategic initiatives. Meanwhile, Hydro One Limited has declared a quarterly cash dividend of $0.3331 per common share, to be paid on September 29, 2025. The dividend is designated as "eligible" for Canadian income tax purposes. In another development, Hydro One announced that President and CEO David Lebeter will take a temporary compassionate care leave. During his absence, Harry Taylor will serve as Interim President and CEO while continuing his role as Executive Vice President, Chief Financial and Regulatory Officer.
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