Post-spinoff, Hilton is still a leader

Article Excerpt

HILTON WORLDWIDE HOLDINGS $77 (New York symbol HLT; Consumer Sector; Shares outstanding: 321.0 million; Market cap: $24.7 billion; Takeover Target Rating: Low; Dividend yield 0.8%; TSINetwork Rating: Average; www.hiltonworldwide.com) owns, manages and franchises hotels under several brands, including Hilton, Waldorf Astoria, Doubletree and Embassy Suites by Hilton. The U.S. accounts for 74% of the company’s 837,692 rooms. On January 3, 2017, Hilton completed two spinoffs: Park Hotels & Resorts Inc. (see box, page 5), its lodging real estate investment trust (REIT); and Hilton Grand Vacations Inc., its vacation ownership company (see right). Under the plan, Hilton Worldwide shareholders received one share of Park Resorts & Hotels for every five HLT shares they held and one share of Hilton Grand Vacations for every 10 HLT shares. Hilton Worldwide also undertook a reverse 1-for-3 share split immediately following the spinoffs. For the quarter ended September 30, 2017, Hilton Worldwide earned $181 million, or $0.56 a share. That’s up 48.4%, from $122 million, or $0.37, a..