Mkt in general and a lot of property related plays have bounced. This has nudged up 40p to 1100p v nav at 25 pound. Also trading seems good or at least ok. So well left behind. The opportunity or are we missing something? |
Tipped in the Sunday Times - hence the rise this am.
Suet |
Jefferies sees opportunities being created by PPHEPPHE Hotels Group (PPH) is reducing debt and creating opportunities with its new investment fund, says Jefferies.Analyst Jaina Mistry retained her 'buy' recommendation and target price of £17.00 on the hotel chain, which was trading at £10.40 on Thursday.Third-quarter revenue per available room was ahead of Jefferies's estimates, up 10.3% against a forecast rise of 9%. Mistry raised full-year earnings per share by 8% 'to reflect the third-quarter beat and occupancy recovery in the fourth quarter'.'We change our upside scenario to now reflect a stronger occupancy-led recovery in 2024 and see 9% upside to our estimates in a no-recession scenario,' she said. |
Even good news is not rewarded in this market.
It's going to be tough for quite a while.
Suet |
Today's trading update is positive imo. Can't say that a lot atm.
Suet |
From Whitbread's interim statement "UK hotel demand is strong and with supply not now expected to return to pre-pandemic levels for at least five years. We are therefore seeking opportunities to grow our pipeline." |
the Board has taken the decision to approve the payment of an interim dividend of 16 pence per share, for the period ended 30 June 2023, to all shareholders who are on the register on 6 October 2023. This represents a year-on-year increase of 13 pence per share (H1 2022: 3 pence per share). The interim dividend is to be paid on 27 October 2023. |
 hxxps://citywire.com/funds-insider/news/expert-view-british-american-tobacco-mobico-888-holdings-pphe-hotel-and-serco/
Berenberg: PPHE discount is unjustified
PPHE Hotels Group (PPH) is trading at an unjustified discount given the resilience of its core market, says Berenberg.
Analyst Jack Cummings retained his ‘buy’ recommendation and target price of £20.00 on the stock, which was trading at £11.05 on Friday.
The group, formerly known as Park Plaza Hotels, reported ‘solid’ first half results ‘demonstrating continued momentum in the second quarter and reiterating guidance of full-year 2023 revenue of at least £400m and Ebitda of at least £120m, in line with our most recent upgrades in late June’, said Cummings.
‘We continue to believe that PPHE’s current discount to net asset value cannot be justified and that its core markets will continue to be resilient, as has been evidenced by this strong update and the positive commentary on current trading,’ he said.
Cummings added that the strength of trading and the confident outlook means now is ‘the right time to return to its historical capital returns policy of distributing approximately 30% of adjusted EPRA earnings while also continuing to support investment in future growth opportunities’.
‘Given the recent share price performance, the board intends to consult with shareholders regarding the most appropriate and effective mechanism of distribution including dividends, share buybacks, tender offers or a combination,’ he said. |
Market seems disinterested for now. But all bodes very well for the future should market sentiment ever improve. |
had a few more today |
Great results.
Slightly baffled that a distribution policy has yet to be agreed.
Discount to nav at 60% is huge - going private?
Suet |
Hoping it's gonna pop soon , especially with results end of next month. |
Think it's a case of stringing together some good numbers and delivering further nav. Was rated well before and when interest rate cuts come it should race higher. Rate peak getting closer now so fingers crossed. |
I wouldn’t be surprised if these are taken private via a management buyout. I think it’s quite a hard sell to public investors to invest in a listed hotel / real estate company that pays such a paltry yield. I know it shouldn’t matter but for listed real estate it does.
There’s clearly some value here and we know that seldom lasts long. Either it turns out to be a mirage; or it finally catches a bid; or it’s arbitraged away via a take private or merger. |
Surely a buy again c.1060p. Market leaving these on the shelf for now. |
https://citywire.com/funds-insider/news/expert-view-moonpig-auction-tech-morgan-sindall-norcros-and-pphe/PPHE discount isn't justified, says Berenberg The discount that PPHE Hotel Group (PPH), formerly Park Plaza Hotels, trades on is unjustified, says Berenberg. Analyst Jack Cummings retained his 'buy' recommendation and target price of £20 on the stock, which fell 0.7%, or 7.5p, to £11.13 on Friday. The group reported a strong first-half trading update 'demonstrating continued momentum and upgrading its outlook for full-year 2023'. 'The strong trading conditions and forward booking momentum in the first quarter have been maintained through the second quarter and into the third quarter across all main market segments of leisure, corporate travel, and meetings and events,' Cummings said. 'As a result, PPHE expects first-half revenue to be more than 14% ahead of the same period in 2019 while now forecasting full-year 2023 revenue of at least £400m and ebitda of at least £120m.' Cummings said that given these numbers, the group's 'current discount to net asset value cannot be justified' and that 'its core markets will continue to be resilient as has been evidenced by this strong trading update'. |
...so became a shareholder! |
Agreed. I use PP 2-3 nights a week on London and they have become incredibly expensive last few months but also often fully sold out. Must be making tons |
Hotels rates for this summer are on the moon, they are going to make a ton of money, great portfolio of properties, well run and getting back to sold compounding |
For once an update well received by the market.
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Great trading update - performance materially ahead of market consensus.
Hopefully see an uptick this am.
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very difficult company to get the gist of IMV. some non standard transactions which muddy the waters, and which makes me doubt that the share price will ever reflect NAV.
quite high gearing and the sector they're in surely means things can get messy very quickly, though they do not have much lease exposure which significantly mitigates that risk. they do seem pretty savvy operators though and work very hard to drive NAV higher by recycling capital and partnerships. |
Nice share price rise this am.
Jeffries likes and ups tp from 1300 to 1600 - hold to buy.
Suet |
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