Hilton Worldwide Holdings Inc. Prepares for Q4 and Full-Year 2016 Earnings Release

Hilton Worldwide Holdings Inc. (HLT) is set to announce its fourth-quarter and full-year 2016 results on February 15, before the market opens. The company has shown an average positive earnings surprise of 0.6% in the last four quarters, although it missed revenue estimates twice in the same period.
Key factors for this quarter include anticipated growth in system-wide revenue per available room (RevPAR) driven by rate and group business improvements. Adjusted earnings are projected between 20 to 23 cents, and adjusted EBITDA is expected to range from $736 million to $776 million. Despite some positive trends, challenges such as weak corporate transient business, geopolitical issues, and adverse currency impacts persist.
Hilton’s Earnings ESP (Expected Surprise Prediction) is +6.15%, but it holds a Zacks Rank #5 (Strong Sell), suggesting it is unlikely to beat earnings. Investors might consider other hotel stocks like Extended Stay America (STAY), Hyatt Hotels Corporation (H), and Marriott International (MAR), which have more favorable Zacks Ranks and positive Earnings ESPs.