Mizuho Starts Vail Resorts (MTN) at Buy, 'fears are largely overblown'

Mizuho analyst Ben Chaiken initiates coverage on Vail Resorts (NYSE: MTN) with a Buy rating and a price target of $256.00.

The analyst commented: 'We initiate coverage of Vail Resorts (MTN) with a Buy rating and $256 target. Variable weather conditions have impacted MTN results the last three seasons, most notably culminating in their recent FY24 guidance reduction. The market now questions MTN’s core growth, including demand for the product/pricing power. In our view, these fears are largely overblown, with material impacts to snowfall driving the lower skier visitation and thus lower EBITDA results. Our Buy rating is based on (1) exaggerated market concerns around core growth/value proposition, leading to conservative ’25 estimates, (2) upside from ancillary opportunities (e.g., My Epic Gear), and (3) long-term growth from M&A (e.g., Europe portfolio development).'

For an analyst ratings summary and ratings history on Vail Resorts click here. For more ratings news on Vail Resorts click here.

Shares of Vail Resorts closed at $221.50 yesterday.

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