Hilton Grand Vacations downgraded at JPMorgan on mounting execution headwinds

As previously reported, JPMorgan analyst Ryan Lambert downgraded Hilton Grand Vacations to Neutral from Overweight with a price target of $36, down from $55. Following a “challenging” set of Q2 results, the firm updates its forecasts to reflect the midpoint of Hilton Grand Vacations’ lowered full-year 2024 EBITDA guidance range, which is down 10% versus the company’s prior view. Following the results and guidance cut, the firm sees “concerning trends in VPG” and loan loss as unlikely to dissipate in the near term in a backdrop of persistently weakening consumer trends, while additionally arguing that the company faces idiosyncratic headwinds with respect to efficient integration of its newly acquired Bluegreen Vacations.