Citi analyst Smedes Rose downgraded Hilton to Neutral from Buy with a price target of $148, down from $150. The analyst sees two key factors that could weigh on share performance going forward. First, potential for weaker RevPAR growth versus expectations, and second, Hilton’s exposure to Germany and the United Kingdom, both of which are seen as either in, or entering, recession. Relatively unfavorable lease structures for these properties can have an outsized impact on the company’s earnings, Rose tells investors in a research note.
Published first on TheFly
See the top stocks recommended by analysts >>
Read More on HLT: