Playa Hotels & Resorts N.V. [NASDAQ: PLYA] gained 7.76% or 0.34 points to close at $4.72 with a heavy trading volume of 1729559 shares. The company report on November 17, 2020 that Playa Hotels & Resorts N.V. Announces Secondary Offering of 12,500,000 Ordinary Shares by Selling Shareholders.
Playa Hotels & Resorts N.V. (NASDAQ: PLYA) (“Playa”) announced that certain selling shareholders (the “Selling Shareholders”) affiliated with Farallon Capital Management, L.L.C. (collectively, the “Farallon Funds”) have commenced an underwritten secondary offering of 12,500,000 of our Ordinary Shares. The Selling Shareholders expect to grant the underwriter an option to purchase up to 1,875,000 additional Ordinary Shares. Upon consummation of the offering for the proposed number of shares offered, excluding any exercise of the option described above, the Farallon Funds’ aggregate beneficial ownership interest in Playa will be reduced to approximately 13.5%.
Playa is not offering any Ordinary Shares in the offering and will not receive any proceeds from the sale of Ordinary Shares by the Selling Shareholders in the offering. In addition, none of Playa’s officers or directors is selling any Ordinary Shares in the offering.
It opened the trading session at $4.53, the shares rose to $4.89 and dropped to $4.53, the range by which the price of stock traded the whole day. The daily chart for PLYA points out that the company has recorded 87.30% gains over the past six months. However, it is still -263.08% lower than its most recent low trading price.
If we look at the average trading volume of 718.79K shares, PLYA reached to a volume of 1729559 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Playa Hotels & Resorts N.V. [PLYA]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for PLYA shares is $5.30 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on PLYA stock is a recommendation set at 2.60. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
SunTrust have made an estimate for Playa Hotels & Resorts N.V. shares, keeping their opinion on the stock as Hold, with their previous recommendation back on April 29, 2020. While these analysts kept the previous recommendation, Citigroup dropped their target price from $8 to $1. The new note on the price target was released on April 07, 2020, representing the official price target for Playa Hotels & Resorts N.V. stock. Previously, the target price had yet another raise to $10, while Macquarie analysts kept a Outperform rating on PLYA stock.
The Average True Range (ATR) for Playa Hotels & Resorts N.V. is set at 0.31, with the Price to Sales ratio for PLYA stock in the period of the last 12 months amounting to 1.78. The Price to Book ratio for the last quarter was 1.00, with the Price to Cash per share for the same quarter was set at 1.48.
Trading performance analysis for PLYA stock
Playa Hotels & Resorts N.V. [PLYA] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.85. With this latest performance, PLYA shares gained by 20.72% in over the last four-week period, additionally plugging by 87.30% over the last 6 months – not to mention a drop of -35.25% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for PLYA stock in for the last two-week period is set at 60.98, with the RSI for the last a single of trading hit 64.30, and the three-weeks RSI is set at 59.41 for Playa Hotels & Resorts N.V. [PLYA]. The present Moving Average for the last 50 days of trading for this stock 4.20, while it was recorded at 4.50 for the last single week of trading, and 3.76 for the last 200 days.
Playa Hotels & Resorts N.V. [PLYA]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Playa Hotels & Resorts N.V. [PLYA] shares currently have an operating margin of +5.24 and a Gross Margin at +25.00. Playa Hotels & Resorts N.V.’s Net Margin is presently recorded at -0.68.
Return on Total Capital for PLYA is now 1.81, given the latest momentum, and Return on Invested Capital for the company is -0.24. Return on Equity for this stock declined to -0.53, with Return on Assets sitting at -0.20. When it comes to the capital structure of this company, Playa Hotels & Resorts N.V. [PLYA] has a Total Debt to Total Equity ratio set at 129.30. Additionally, PLYA Total Debt to Total Capital is recorded at 56.39, with Total Debt to Total Assets ending up at 47.65. Long-Term Debt to Equity for the company is recorded at 120.52, with the Long-Term Debt to Total Capital now at 52.56.
Receivables Turnover for the company is 8.31 with a Total Asset Turnover recorded at a value of 0.29.
Playa Hotels & Resorts N.V. [PLYA]: An earnings per share (EPS) analysis
With the latest financial reports released by the company, Playa Hotels & Resorts N.V. posted -0.09/share EPS, while the average EPS was predicted by analysts to be reported at -0.13/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 30.80%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for PLYA. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Playa Hotels & Resorts N.V. go to 15.48%.
An analysis of insider ownership at Playa Hotels & Resorts N.V. [PLYA]
There are presently around $453 million, or 72.80% of PLYA stock, in the hands of institutional investors. The top three institutional holders of PLYA stocks are: FARALLON CAPITAL MANAGEMENT LLC with ownership of 30,606,930, which is approximately 0% of the company’s market cap and around 1.10% of the total institutional ownership; HG VORA CAPITAL MANAGEMENT, LLC, holding 12,900,000 shares of the stock with an approximate value of $60.89 million in PLYA stocks shares; and TPG GROUP HOLDINGS (SBS) ADVISORS, INC., currently with $45.34 million in PLYA stock with ownership of nearly 0% of the company’s market capitalization.
Positions in Playa Hotels & Resorts N.V. stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 27 institutional holders increased their position in Playa Hotels & Resorts N.V. [NASDAQ:PLYA] by around 5,573,793 shares. Additionally, 42 investors decreased positions by around 5,558,233 shares, while 17 investors held positions by with 84,938,726 shares. The mentioned changes placed institutional holdings at 96,070,752 shares, according to the latest SEC report filing. PLYA stock had 10 new institutional investments in for a total of 2,020,219 shares, while 10 institutional investors sold positions of 280,323 shares during the same period.