Jefferies Cuts Price Targets on Gaylord Entertainment (GET) 35% as Management Reduces Guidance
Tweet Send to a FriendGet Alerts GET Hot Sheet
Price: $39.53 --0%
Rating Summary:
3 Buy, 7 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 21 | Down: 43 | New: 13
Rating Summary:
3 Buy, 7 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 21 | Down: 43 | New: 13
Trade GET Now!
Jefferies is reaffirming its Hold rating on shares of Gaylord Entertainment (NYSE: GET), but is lowering its price target from $27 to $20.
The company released its third quarter results relatively weaker than expected with $225.2 million in revenue and EBITDA of $48.8 million. The firm notes that GET's Palms and National segments underperformed while its Texan segment fell inline.
Hotel RevPAR rose 2.1 percent as occupancy fell 90 bps and ADR increased 3.2 percent. Due to weaker out of room spend particularly at its National and Palms, total RevPAR fell 7 percent.
Management lowered its FY11 guidance to below previous expectations. The company narrowed its FY11 adjusted EBITDA estimate from $215-$230 million to $215-$225 million and its total RevPAR estimate from 4-6 percent to 0.5-2.5 percent. The new guidance reflects the weakness being experienced at the Palms and National.
For 2012, Gaylord Entertainment forecasts adjusted EBITDA of $228-$243 million on RevPAR growth of 3-6 percent.
Jefferies cut its FY11 and FY12 adjusted EBITDA estimates from $222.3 million and $242.6 million to $217.5 million and $233.7 million. The firm's new estimates are based on total RevPAR growth of 2.1 percent.
For more ratings news on Gaylord Entertainment click here and for the rating history of Gaylord Entertainment click here.
Shares of Gaylord Entertainment closed at $20.44 yesterday, with a 52 week range of $17.39-$38.22.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
The company released its third quarter results relatively weaker than expected with $225.2 million in revenue and EBITDA of $48.8 million. The firm notes that GET's Palms and National segments underperformed while its Texan segment fell inline.
Hotel RevPAR rose 2.1 percent as occupancy fell 90 bps and ADR increased 3.2 percent. Due to weaker out of room spend particularly at its National and Palms, total RevPAR fell 7 percent.
Management lowered its FY11 guidance to below previous expectations. The company narrowed its FY11 adjusted EBITDA estimate from $215-$230 million to $215-$225 million and its total RevPAR estimate from 4-6 percent to 0.5-2.5 percent. The new guidance reflects the weakness being experienced at the Palms and National.
For 2012, Gaylord Entertainment forecasts adjusted EBITDA of $228-$243 million on RevPAR growth of 3-6 percent.
Jefferies cut its FY11 and FY12 adjusted EBITDA estimates from $222.3 million and $242.6 million to $217.5 million and $233.7 million. The firm's new estimates are based on total RevPAR growth of 2.1 percent.
For more ratings news on Gaylord Entertainment click here and for the rating history of Gaylord Entertainment click here.
Shares of Gaylord Entertainment closed at $20.44 yesterday, with a 52 week range of $17.39-$38.22.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- UPDATE: Wedbush Downgrades XenoPort (XNPT) to Neutral
- Morgan Stanley Says Tesla (TSLA) 'Top Pick in U.S. Autos'
- UPDATE: Michael Kors (KORS) Under-Appreciated; Canaccord Genuity Starts at Buy
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
Jefferies & Co
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
