Skip to main content

Market Overview

Compass Point Updates Model For RLJ Lodging Trust Following Strong 2Q14 Earnings

Share:

In a report published Tuesday, Compass Point analyst Wilkes Graham reiterated a Buy rating and $32.50 price target on RLJ Lodging Trust (NYSE: RLJ).

In the report, Compass Point noted, “We reiterate our Buy rating and $32.50 price target. On August 5, RLJ reported strong 2Q14 earnings characterized by a 2 cent headline beat, 2014 guidance increases across the board, and a 36% quarterly dividend boost.

"Management increased their (1) 2014 EBITDA guidance range to $380M-$400M from $365M-$385M, (2) midpoint of their 2014 RevPAR guidance by 50 bps to 6.0% from 5.5%, and (3) midpoint of their 2014 Hotel EBITDA margin guidance by 20 bps to 35.2% from 35.0%. The Company has closed approximately $553.7M and $128.1M in acquisitions and dispositions YTD (respectively), and management expects to close an additional $100M and $86.5M in acquisitions and dispositions by year end.

"We've tweaked our estimates after a full model update, and continue to expect the company to trade at a premium to peer multiples due to its strong earnings ‘beat-and-raise' track record and its impressive history of capital deployment.”

RLJ Lodging Trust closed on Monday at $29.78.

Latest Ratings for RLJ

DateFirmActionFromTo
Jan 2022BairdUpgradesNeutralOutperform
Apr 2021KeybancMaintainsOverweight
Apr 2021Truist SecuritiesUpgradesHoldBuy

View More Analyst Ratings for RLJ

View the Latest Analyst Ratings

 

Related Articles (RLJ)

View Comments and Join the Discussion!

Posted-In: Compass Point Wilkes GrahamAnalyst Color Reiteration Analyst Ratings

Latest Ratings

StockFirmActionPT
SEDGB of A SecuritiesMaintains411.0
PTLOPiper SandlerMaintains28.0
AOUTLake StreetMaintains26.0
RAPTPiper SandlerMaintains52.0
OCXLake StreetMaintains6.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com