Analyst Stephen Grambling from Morgan Stanley maintained a Buy rating on Wyndham Hotels & Resorts (WH – Research Report) and keeping the price target at $107.00.
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Stephen Grambling’s rating is based on a combination of factors that highlight Wyndham Hotels & Resorts’ promising financial outlook. The company reported its fourth-quarter EBITDA in line with expectations and projected its 2025 EBITDA above consensus estimates, reflecting strong performance and a positive trajectory. Despite a recent stock rally, Wyndham’s valuation remains lower than its peers, providing a potential opportunity for investors given the company’s comparable growth algorithm for 2025.
Additionally, Wyndham’s growing pipeline of FeePAR rooms and an improving demand environment in leisure and infrastructure sectors contribute to its optimistic outlook. The company’s EBITDA and fees are expected to grow at a faster rate than some of its competitors, indicating robust potential for future profitability. Furthermore, Wyndham’s commitment to returning capital to shareholders through buybacks and dividends underscores its financial stability and investor-friendly approach, further justifying the Buy rating.
In another report released on February 4, Wells Fargo also maintained a Buy rating on the stock with a $114.00 price target.