Author Topic: Hilton IPO  (Read 2272 times)

Offline yos9694

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Hilton IPO
« on: December 04, 2013, 05:29:06 PM »
As hotel patrons, do any of you have thoughts on the upcoming Hilton IPO? I personally think it way overvalues the company, but I'd sure like to get input from this crowd if anyone has any thoughts. Is the Hilton chain twice the size (in value) of SPG? Twice Marriott? Three times Hyatt? If not, then there is no upside potential at the stock price they set.

Before you lambaste me, I already posed this to the readers of the stocks thread but it wasn't the right audience. I personally always viewed Hilton much lower in the hierarchy of hotel chains than the top, and am shocked by the valuation. I've seen the numbers, but I'd value some opinion from the "mattress run" point of view too.

Offline Dan

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Re: Hilton IPO
« Reply #1 on: December 04, 2013, 05:32:50 PM »
Hilton is way bigger than spg and Hyatt.
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Offline myb821

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Re: Hilton IPO
« Reply #2 on: December 04, 2013, 05:37:33 PM »
Hilton is way bigger than spg and Hyatt.
not twice the size of marriot though. http://www.hospitalitynet.org/news/4060119.html

Offline yos9694

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Re: Hilton IPO
« Reply #3 on: December 04, 2013, 05:38:23 PM »
Hilton is way bigger than spg and Hyatt.

Thanks, Dan. Do these values make sense though relative to each other?

Hilton    = $24 Billion
SPG       = $14 Billion
Marriott = $14 Billion
Hyatt     = $8 Billion

Offline myb821

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Re: Hilton IPO
« Reply #4 on: December 04, 2013, 05:39:29 PM »
Thanks, Dan. Do these values make sense though relative to each other?

Hilton    = $24 Billion
SPG       = $14 Billion
Marriott = $14 Billion
Hyatt     = $8 Billion
I find that very surprising that marriot is the same value as SPG as it has more than 3x the amount of properties

Offline yos9694

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Re: Hilton IPO
« Reply #5 on: December 04, 2013, 05:40:26 PM »
I find that very surprising that marriot is the same value as SPG as it has more than 3x the amount of properties

SPG must have better properties then. I'm calculating market capitalization, i.e. stock price x number of shares. The SPG value is actually a few hundred mil higher than marriott, I was just rounding.
« Last Edit: December 04, 2013, 05:48:05 PM by yos9694 »

Offline Bostener

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Re: Hilton IPO
« Reply #6 on: December 04, 2013, 06:43:29 PM »
Thanks, Dan. Do these values make sense though relative to each other?

Hilton    = $24 Billion
SPG       = $14 Billion
Marriott = $14 Billion
Hyatt     = $8 Billion

Are these numbers assets, last years revenue or net income?
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Bruh, where were you when my suitcase weighed it 51.50 pounds?

Offline myb821

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Re: Hilton IPO
« Reply #7 on: December 04, 2013, 07:05:07 PM »
Are these numbers assets, last years revenue or net income?
SPG must have better properties then. I'm calculating market capitalization, i.e. stock price x number of shares. The SPG value is actually a few hundred mil higher than marriott, I was just rounding.

Offline Bostener

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Re: Hilton IPO
« Reply #8 on: December 04, 2013, 07:30:16 PM »
Hilton is way bigger than spg and Hyatt.

Dan, if I remember correctly you have a MBA. We would expect better then just saying bigger. Please explain are we talking in rooms, branches, assets, revenue, income or maybe something else.
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Offline sky121

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Re: Hilton IPO
« Reply #9 on: December 04, 2013, 07:51:05 PM »
They have more hotels. That's for sure.
"Not all who wander are lost"

Offline yos9694

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Re: Hilton IPO
« Reply #10 on: December 04, 2013, 08:00:27 PM »
Are these numbers assets, last years revenue or net income?

Comparing the P&L or balance sheets is more complex and is harder to present than simply market cap. I'm OK with my numbers analysis on this, but I just can't wrap my head around that size, when nothing else in the industry comes close.

Offline Bostener

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Re: Hilton IPO
« Reply #11 on: December 04, 2013, 11:13:27 PM »
As for investing in their stock the most important number to look is the income from operations and the EPS.
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Bruh, where were you when my suitcase weighed it 51.50 pounds?

Offline PlatinumGuy

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Re: Hilton IPO
« Reply #12 on: December 04, 2013, 11:15:06 PM »
Hard to look at something when there's no benchmark.
Purpose > Pleasure

Offline Bostener

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Re: Hilton IPO
« Reply #13 on: December 05, 2013, 12:55:36 AM »
Hard to look at something when there's no benchmark.

That's why there is EPS .
Airlines sending me "We're in this together" emails.

Bruh, where were you when my suitcase weighed it 51.50 pounds?

Offline BigDanFan

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Re: Hilton IPO
« Reply #14 on: December 08, 2013, 06:15:21 PM »
I find that very surprising that marriot is the same value as SPG as it has more than 3x the amount of properties
SPG has much higher end properties, by far.

The Sheraton, Westin, SLS, and St. Regis are much more upscale properties;
they host international conventions, large weddings,
business dinners/events, and have fancier ballrooms, overall.
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