Park Hotels & Resorts (PK) Gets Higher Price Objective from Morgan Stanley

On May 12, Morgan Stanley raised its terms proposal connected Park Hotels & Resorts Inc. (NYSE:PK) to $10.50 from $10. It reiterated an Equal Weight standing connected the shares.

During the Q1 2026 net call, Chairman, President, and CEO Thomas Baltimore said the institution delivered better-than-expected results. RevPAR accrued 5.5% twelvemonth implicit year, excluding the Royal Palm South Beach Hotel. He credited the show to continued spot successful leisure request crossed the company’s edifice properties, on with coagulated firm radical demand.

Baltimore besides said the institution precocious sold the 396-room Hilton Seattle Airport Hotel for $18 million. According to him, full non-core plus income for the twelvemonth reached $31 million. He added that the institution continued making dependable advancement connected the remaining 12 non-core hotels and remained committed to importantly reducing non-core vulnerability by the extremity of the year.

Speaking astir the Royal Palm South Beach property, Baltimore said the task remained connected way for completion by aboriginal June. He besides pointed to encouraging aboriginal booking trends, noting that the spot had already secured $1.4 cardinal successful radical concern for 2027 by the extremity of the archetypal 4th astatine an mean complaint of $460. Baltimore further reiterated the company’s underwriting expectations. He said returns connected invested superior were projected to scope betwixt 15% and 20%, portion EBITDA was expected to much than treble from astir $14 cardinal to $28 cardinal erstwhile the spot reached stabilization.

Park Hotels & Resorts Inc. (NYSE:PK) is simply a lodging REIT with a portfolio of hotels and resorts crossed the United States. The institution owns astir 34 hotels and resorts with astir 23,000 rooms.

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