Truist Lays Out Projections for Earnings Season
Skift Take
Vacasa is reviewing an unsolicited $5.25-per-share acquisition proposal while maintaining its existing merger with Casago at $5.02 per share, with its board recommending the merger as it evaluates whether the new bid is superior.
The DJIA rose 134 points while Nasdaq was up 262, the S&P 500 was up 43 and the 10-year treasury yield was down .03 to 4.51%. Lodging stocks were modestly higher. VCSA was the biggest gainer, up 5% while WH and PLYA both traded up to new highs.
Wells Fargo said they are expecting EBITDA beats across the board for lodging C-Corps for 4Q24 earnings season. They expect the FY25 guides will likely reflect conservative RevPAR forecasts given elevated uncertainty, with solid unit growth bolstered by partnerships/conversions. They described C-Corps multiples as showing they are a port in the storm, with Hilton and Marriott multiples above their averages. WF believes the FY25 guides will likely leave an upside but that this optionality is already mostly reflected in valuations.
Truist said they expect Hilton will set the pace for the fourth-quarter earnings season this week, a
