Assenagon Asset Management SA, a leading institutional investor, recently disclosed in its 13F filing with the Securities and Exchange Commission (SEC) that it has significantly reduced its stake in Wyndham Hotels & Resorts, Inc. (NYSE: WH). The selection revealed that Assenagon sold 171,055 shares in the first quarter, representing a dilution of approximately 35.8% of its holdings. As a result, the investment management firm now owns 306,709 shares of the Wyndham Hotels & Resorts stock, valued at $20.81 million.
The move by Assenagon Asset Management SA raises questions about the future of Wyndham Hotels & Resorts. Companies often reduce their stake in a business when they are concerned about prospects or want to diversify their investments. While it may be difficult to determine why Assenagon made this decision, it leaves room for speculation.
In addition to the cost reduction, Wyndham Hotels & Resorts recently announced that it will issue a quarterly dividend on June 28th. Shareholders of record on June 14 received a dividend of $0.35 per share. The company paid $1.40 per share last time and the annual yield was 2.05%. It is worth noting that the previous share date was on June 13th.
Market research analysts have reviewed Wyndham Hotels & Resorts’ performance and provided their recommendations on the company’s valuation and growth prospects. Oppenheimer cut its price target from $100 to $90 per share in April, indicating that investors are becoming less confident about the company’s future earnings. Stifel Nicolaus lowered their price target from $87 to $81 per share at the end of the same month.
However, not all analysts shared a more cautious view of the company. StockNews.com, in their research note dated May 18, initiated coverage on Wyndham Hotels & Resorts with a “hold” rating. Meanwhile, Barclays lowered its price target from $89 to $88 per share but maintained an “overweight” rating on the stock. Finally, Robert W. Baird changed their price target to $86 per share while confirming “outperform” at the price in early March.
Wyndham Hotels & Resorts has received mixed reviews from research analysts, with two analysts giving the stock a hold rating and five analysts rating the stock a hold rating. According to Bloomberg.com, the consensus among analysts is that Wyndham Hotels & Resorts has an average buy price of $85.71.
As it is, investors are still keen to see if Assenagon Asset Management’s decision to reduce its stake in Wyndham Hotels & Resorts reflects a larger impact on the company or is just part of a financial restructuring. With competing views from equity analysts, uncertainty in the sector continues as stakeholders navigate a challenging and volatile market.
Please note that all the information mentioned here is based on information available as of June 30, 2023. As financial conditions are changing rapidly and things are constantly changing in the financial markets, it is important for investors to stay alert and stay alert for accurate and up-to-date information. – daily information about their financial decisions.
Company Profile Wyndham Hotels & Resorts, Inc.
WH
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Updated: 01/07/2023
Wyndham Hotels & Resorts Garners Attention from Institutional Investors and Shows Market Strength
June 30, 2023 – Wyndham Hotels & Resorts (NYSE: WH) continues to attract the attention of institutional investors and hedge funds with its market performance. Bank of America Corp DE boosted its holdings in the company by a stunning 367.1% in the fourth quarter, now owns 1,358,213 shares valued at $96,854,000. Likewise, Morgan Stanley increased its holdings by 170.2%, now owning 1,472,876 shares worth $105,031,000.
Specifically, Norges Bank entered the fourth quarter by purchasing a new stake in Wyndham Hotels & Resorts valued at approximately $63,560,000. Barclays PLC followed suit and raised its value by an impressive 514.8%, bringing its total holdings to 830,795 shares valued at $59,244,000. Wedge Capital Management LLP NC also joined the investor group with a new value of about $35,088,000.
It is interesting to note that 91.72% of Wyndham Hotel & Resort’s assets are owned by hedge funds and other businesses. This level of interest from such high-profile investors is undoubtedly a testament to the growth and profitability of the hospitality giant.
In addition to these impressive financial developments, Chief Accounting Officer Nicola Rossi recently sold 8,000 shares of Wyndham Hotels & Resorts stock. The project was completed on June 6th and totaled $589,760. Following this sale event – Rossi’s current holdings represent over 5,741 shares in the company with a value of $423-226-52.
The news doesn’t end there – Wyndham Hotels & Resorts has announced that it will be paying a quarterly dividend on June 28. The dividend, worth $0.35 per share, was issued to investors on June 14th. With an annual dividend of $1.40 and a yield of 2.05%, the company remains committed to rewarding shareholders.
Keeping our focus on stock performance, Wyndham Hotels & Resorts opened at $68.27 on Friday, indicating steady growth over time. The company has a debt ratio of 2.19 and a quick ratio and current ratio both stand at 1.27, indicating financial stability.
It is worth noting that Wyndham Hotels & Resorts shows a wide range in its 52-week price range, fluctuating between a low of $58.81 and a high of $81.00 with a market average of $5.86 billion during this period.
Analyzing the results released on April 26 by Wyndham Hotels & Resorts shows some positive results for the hospitality brand. Earnings per share (EPS) for the quarter were $0.86 compared to the market’s consensus estimate of $0.81, which beat the consensus estimate of $0.05 per share.
The company’s revenue for the same quarter stood at $313 million, slightly below analysts’ forecasts of $322.68 million; however, its margin remained strong at 21.94% while enjoying a return of 34.17%. Despite the decrease in revenue compared to the previous year, as shown by the decrease of 15.6% YoY, Wyndham Hotels & Resorts was able to show good financial management during difficult times.
Looking ahead, equities research analysts forecast that Wyndham Hotels & Resorts will post 4:02 EPS for the current fiscal year.
Overall, the latest developments show the strength of Wyndham Hotels & Resorts in the hospitality industry and its ability to attract investment from prominent financial institutions. With a strong market, strong financial results, and the commitment of rewarding shareholders, the company is poised for continued success in the future.
Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice.
