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Playa Hotels & Resorts (PLYA) Dips More Than Broader Markets: What You Should Know

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Playa Hotels & Resorts (PLYA - Free Report) closed the most recent trading day at $5.98, moving -1.81% from the previous trading session. This change lagged the S&P 500's 0.84% loss on the day. Elsewhere, the Dow lost 0.36%, while the tech-heavy Nasdaq lost 0.18%.

Heading into today, shares of the developer and operator of all-inclusive resorts had lost 12.88% over the past month, lagging the Consumer Discretionary sector's loss of 11.36% and the S&P 500's loss of 10.24% in that time.

Investors will be hoping for strength from Playa Hotels & Resorts as it approaches its next earnings release. In that report, analysts expect Playa Hotels & Resorts to post earnings of $0.06 per share. This would mark year-over-year growth of 166.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $192.73 million, up 27.39% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.51 per share and revenue of $827.27 million, which would represent changes of +206.25% and +54.73%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Playa Hotels & Resorts. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.33% higher. Playa Hotels & Resorts is holding a Zacks Rank of #2 (Buy) right now.

Valuation is also important, so investors should note that Playa Hotels & Resorts has a Forward P/E ratio of 12.02 right now. For comparison, its industry has an average Forward P/E of 19.59, which means Playa Hotels & Resorts is trading at a discount to the group.

The Hotels and Motels industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 144, putting it in the bottom 43% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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