Morgan Stanley Cuts Vail Resorts (NYSE:MTN) Price Target to $142.00

Vail Resorts (NYSE:MTN – Free Report) had its target price reduced by Morgan Stanley from $147.00 to $142.00 in a research report report published on Wednesday, MarketBeat reports. They currently have an equal weight rating on the stock.

Several other analysts have also recently commented on MTN. Weiss Ratings cut Vail Resorts from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, September 14th. Mizuho decreased their target price on shares of Vail Resorts from $160.00 to $156.00 and set an “outperform” rating on the stock in a research report on Tuesday. JPMorgan Chase & Co. boosted their target price on shares of Vail Resorts from $126.00 to $150.00 and gave the company a “neutral” rating in a report on Tuesday. Barclays cut their price target on shares of Vail Resorts from $119.00 to $117.00 and set an “underweight” rating on the stock in a research note on Tuesday. Finally, Jefferies Financial Group reiterated a “buy” rating and issued a $162.00 price target on shares of Vail Resorts in a report on Tuesday. Four equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $145.25.

Get Our Latest Stock Analysis on Vail Resorts

Vail Resorts Trading Up 1.6%

Shares of Vail Resorts stock opened at $141.15 on Wednesday. Vail Resorts has a fifty-two week low of $118.51 and a fifty-two week high of $163.34. The business’s fifty day moving average is $143.44 and its two-hundred day moving average is $137.04. The company has a quick ratio of 0.79, a current ratio of 0.80 and a debt-to-equity ratio of 5.57. The firm has a market cap of $5.03 billion, a PE ratio of 34.09, a P/E/G ratio of 9.98 and a beta of 0.76.

Vail Resorts (NYSE:MTN – Get Free Report) last announced its quarterly earnings data on Monday, September 28th. The company reported ($5.34) EPS for the quarter, beating analysts’ consensus estimates of ($5.35) by $0.01. The business had revenue of $278.07 million during the quarter, compared to the consensus estimate of $269.30 million. Vail Resorts had a return on equity of 22.82% and a net margin of 5.20%.The business’s revenue for the quarter was up 2.5% on a year-over-year basis. During the same quarter in the previous year, the business earned ($5.08) earnings per share. Analysts anticipate that Vail Resorts will post 5.64 earnings per share for the current year.

Vail Resorts Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 27th. Shareholders of record on Thursday, October 8th will be paid a dividend of $2.22 per share. This represents a $8.88 dividend on an annualized basis and a dividend yield of 6.3%. The ex-dividend date is Thursday, October 8th. Vail Resorts’s payout ratio is currently 214.49%.

Institutional Investors Weigh In On Vail Resorts

A number of large investors have recently modified their holdings of the stock. MAC Alpha Capital Management LP grew its position in Vail Resorts by 35.3% in the second quarter. MAC Alpha Capital Management LP now owns 33,700 shares of the company’s stock valued at $4,589,000 after acquiring an additional 8,800 shares in the last quarter. Anchor Investment Management LLC purchased a new stake in shares of Vail Resorts during the second quarter valued at approximately $32,000. Tidal Investments LLC lifted its position in shares of Vail Resorts by 29.7% during the second quarter. Tidal Investments LLC now owns 10,965 shares of the company’s stock worth $1,493,000 after purchasing an additional 2,512 shares in the last quarter. Integrated Wealth Concepts LLC acquired a new position in shares of Vail Resorts during the second quarter worth $103,000. Finally, NewEdge Advisors LLC boosted its stake in shares of Vail Resorts by 13,391.6% in the second quarter. NewEdge Advisors LLC now owns 16,055 shares of the company’s stock valued at $2,186,000 after purchasing an additional 15,936 shares during the period. Institutional investors and hedge funds own 94.90% of the company’s stock.

Key Stories Impacting Vail Resorts

Here are the key news stories impacting Vail Resorts this week:

  • Positive Sentiment: Some analysts see upside after the weather-related earnings setback. Wells Fargo expects the stock to rise, while JPMorgan forecasts strong appreciation; one valuation analysis also describes MTN as potentially undervalued following the weather hit and management’s turnaround efforts. Wells Fargo forecast JPMorgan forecast Undervaluation analysis
  • Positive Sentiment: Management is projecting a significant recovery after last year’s unusually weak ski season, offering a potential catalyst if snowfall normalizes and resort visitation improves. Vail recovery outlook
  • Neutral Sentiment: Activist investor Oasis Management is reportedly close to becoming a Vail Resorts insider, which could increase pressure for operational or capital-allocation changes but also introduces uncertainty. Oasis Management report
  • Negative Sentiment: Vail’s profits fell 47% after historically poor snow conditions, while Epic Pass sales have reportedly declined ahead of an uncertain winter. Weaker advance sales could pressure revenue and margins if demand does not rebound. Profit decline report Epic Pass sales report
  • Negative Sentiment: Concerns are mounting around MTN’s 6.47% dividend: free cash flow reportedly fell short, leaving the company reliant on borrowing to fund shareholder payments. This is particularly significant given its elevated leverage and exposure to weather volatility. Dividend and free cash flow analysis
  • Negative Sentiment: Analyst sentiment is mixed to negative: Goldman Sachs issued a Sell rating, and Deutsche Bank reduced its price target. Morgan Stanley also published a pessimistic forecast, potentially limiting upside despite more bullish views from other firms. Goldman Sachs rating Deutsche Bank target Morgan Stanley forecast

About Vail Resorts

(Get Free Report)

Vail Resorts, Inc is a mountain resort operator that owns and manages destination ski and summer resorts, regional ski areas, hotels and other hospitality businesses. Its operations are designed to serve visitors throughout the year, with activities including skiing, snowboarding, hiking, mountain biking, lodging, dining, retail and other resort experiences.

The company’s portfolio includes well-known resorts such as Vail, Beaver Creek, Breckenridge, Keystone, Park City, Whistler Blackcomb and Stowe in North America, as well as Perisher, Falls Creek and Hotham in Australia.

Further Reading

Analyst Recommendations for Vail Resorts (NYSE:MTN)

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