Travel & Leisure Co. (NYSE:TNL) Director George Herrera sold a total of 2,193 shares of the company's common stock on September 17, 2024, at an average price of $42.48 per share, resulting in a transaction value of approximately $93,158. The sale was reported in a recent filing with the Securities and Exchange Commission.
Herrera's transaction resulted in him no longer holding any shares of Travel & Leisure Co. directly following the sale. However, it should be noted that the director still has an indirect interest in the company through deferred and restricted stock units, which were previously reported and not part of this transaction. Specifically, Herrera has 43,602 deferred stock units and 6,352 restricted stock units, which represent a different type of equity compensation that typically vests over time and may be subject to certain conditions.
Investors often monitor insider transactions such as these for insights into the perspectives of company executives and directors regarding their company's stock. Sales can occur for various reasons, including portfolio diversification, tax planning, or personal financial needs, and do not necessarily indicate a negative outlook on the company's future performance.
Travel & Leisure Co., formerly known as Wyndham Destinations (NYSE:TNL), Inc., operates in the hospitality and leisure industry and is known for its portfolio of resort and hotel brands. The company is headquartered in Orlando, Florida, and is incorporated in Delaware.
In other recent news, Travel + Leisure Co. has been the subject of multiple analyst reports. Goldman Sachs initiated coverage on the company with a Neutral rating and a 12-month price target of $44, citing the strength of the company's core vacation ownership business and forward demand indicators. The firm also noted potential for future growth following the company's recent strategic acquisitions, including Accor (EPA:ACCP) and Sports Illustrated.
Simultaneously, Truist Securities has adjusted the price target for Travel + Leisure Co. shares to $60 from the previous $65, while maintaining a Buy rating. This revision is based on updated earnings projections and a lower multiple used in the firm's analysis. The company's 2024 Adjusted EBITDA estimate has been slightly increased to $928 million, and the 2024 earnings per share (EPS) estimate raised to $5.99.
In terms of financial performance, Travel + Leisure Co. reported a 4% increase in Q2 revenue to $985 million and an increase in adjusted EBITDA to $244 million. These promising results are attributed to its vacation ownership business and strategic partnerships. The company has revised its full-year adjusted EBITDA guidance to between $915 million and $935 million.
Travel + Leisure Co. also announced a regular cash dividend of $0.50 per share, scheduled for payment to shareholders on record as of September 13, 2024. These are among the recent developments for Travel + Leisure Co.
InvestingPro Insights
As Travel & Leisure Co. (NYSE:TNL) faces changes in insider holdings, the company's financial health and market performance continue to be of interest to investors. According to InvestingPro data, Travel & Leisure Co. has a market capitalization of $2.96 billion and is trading at a low P/E ratio of 7.03, suggesting that the stock may be undervalued relative to near-term earnings growth. This aligns with an InvestingPro Tip highlighting that the company is trading at a low earnings multiple.
Moreover, Travel & Leisure Co. has maintained dividend payments for 18 consecutive years, a testament to its commitment to returning value to shareholders. This is further supported by a notable dividend yield of 4.69% as of the last recorded date, which is attractive for income-focused investors. The company's financial stability is underscored by another InvestingPro Tip, indicating that its liquid assets exceed short-term obligations, providing a cushion for operational and financial flexibility.
Investors evaluating the company's stock can also find additional insights and tips on InvestingPro, including a total of 9 InvestingPro Tips for Travel & Leisure Co., which can be accessed at https://www.investing.com/pro/TNL. These tips may help investors gauge the stock's potential and make more informed decisions based on the latest data and expert analysis.
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