Recent News
On January 26, 2026 Hilton reported 6.7% net unit growth for 2025 and a record development pipeline of roughly 520,000 rooms; in March the company unveiled an AI travel-planning tool (Hilton AI Planner); and on March 19, 2026 Hilton announced an exclusive agreement to integrate YOTEL into a new Select by Hilton platform, extending distribution and Hilton Honors access to YOTEL properties.
Technical Analysis
ADX at 27.93 signals a strong directional regime in place; that strength amplifies the near-term bias implied by other indicators and increases the likelihood that recent directional moves persist for several weeks.
DI+ shows a peak-and-reversal while DI- shows a dip-and-reversal; both patterns indicate rising selling pressure and therefore a bearish directional signal despite the ADX strength.
MACD displays a peak-and-reversal, a bearish momentum shift. Although the MACD value (8.28) currently sits above the signal (6.71), the peak-and-reversal pattern implies weakening bullish momentum and higher odds of a corrective phase.
MRO stands at 34.01 and is increasing; because MRO is positive, price sits above its MRO target and carries measurable downside potential from current levels, pointing toward a likely mean reversion pressure.
RSI at 58.44 with an increasing trend indicates room to the upside but not overbought conditions; combined with MACD and MRO, the RSI suggests rallies may face resistance and be vulnerable to pullbacks rather than runaway continuation.
Price sits above the 20-, 50- and 200-day averages (20-day: $329.35; 50-day: $311.71; 200-day: $285.59) and the 12-day EMA is increasing, which supports an overall positive price bias; however, Bollinger bands and an elevated MRO warn that pullbacks toward the super trend lower at $325.02 would align with technical mean reversion.
Fundamental Analysis
Revenue totaled $3,087,000,000 for the period; operating income reached $602,000,000 and EBIT equaled $594,000,000. EBIT margin sits at 19.24%, below the industry peer mean of 22.513% but above the industry peer median of 12.099%, indicating margin performance better than the median peer but shy of the peer mean. QoQ EBIT margin compressed by about 21.32%, while YoY EBIT margin expanded by 8.62%.
EPS came in at $2.08 versus an estimate of $2.02, a $0.06 beat and an EPS surprise of roughly 2.97%. Forward EPS stands at $2.6124 with a forward PE near 105.89; trailing PE registers about 140.0 and rose ~11.73% QoQ, reflecting elevated multiple compression risk if earnings growth slows.
Free cash flow totaled $151,000,000, producing a free cash flow yield of approximately 0.23%; that yield declined sharply QoQ (about -81.90%) and YoY (about -73.31%), signaling deteriorating cash conversion relative to prior periods despite positive operating cash flow of $203,000,000.
Leverage metrics highlight material financial burden: total debt near $13.09B, net debt approximately $11.445B, and debt-to-EBITDA around 20.43. Interest coverage sits at 3.6x, which provides coverage but leaves limited cushion if operating trends deteriorate. Return on assets equals roughly 1.78% and return on equity sits near -5.51%.
Asset turnover at 0.1848 compares slightly below the industry peer mean of 0.20313, indicating lower revenue generation per asset. Gross margin stands near 25.95% with YoY improvement of about 7.94%.
The current valuation as determined by WMDST: under-valued. That view balances a large development pipeline and above-median margin performance against an elevated trailing multiple, compressed free cash flow yield, and high leverage; the WMDST valuation reflects those offsetting signals.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-11 |
| NEXT REPORT DATE: | 2026-05-13 |
| CASH FLOW | Begin Period Cash Flow | $ 1.1 B |
| Operating Cash Flow | $ 203.0 M | |
| Capital Expenditures | $ -52.00 M | |
| Change In Working Capital | $ 4.0 M | |
| Dividends Paid | $ -35.00 M | |
| Cash Flow Delta | $ -156.00 M | |
| End Period Cash Flow | $ 970.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 3.1 B | |
| Forward Revenue | $ 1.6 B | |
| COSTS | ||
| Cost Of Revenue | $ 2.3 B | |
| Depreciation | $ 47.0 M | |
| Depreciation and Amortization | $ 47.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 2.5 B | |
| PROFITABILITY | ||
| Gross Profit | $ 801.0 M | |
| EBITDA | $ 641.0 M | |
| EBIT | $ 594.0 M | |
| Operating Income | $ 602.0 M | |
| Interest Income | — | |
| Interest Expense | $ 165.0 M | |
| Net Interest Income | $ -165.00 M | |
| Income Before Tax | $ 429.0 M | |
| Tax Provision | $ 131.0 M | |
| Tax Rate | 30.536 % | |
| Net Income | $ 297.0 M | |
| Net Income From Continuing Operations | $ 298.0 M | |
| EARNINGS | ||
| EPS Estimate | $ 2.02 | |
| EPS Actual | $ 2.08 | |
| EPS Difference | $ 0.06 | |
| EPS Surprise | 2.97 % | |
| Forward EPS | $ 2.61 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 16.8 B | |
| Intangible Assets | $ 11.8 B | |
| Net Tangible Assets | $ -17.17 B | |
| Total Current Assets | $ 3.0 B | |
| Cash and Short-Term Investments | $ 918.0 M | |
| Cash | $ 918.0 M | |
| Net Receivables | $ 1.7 B | |
| Inventory | — | |
| Long-Term Investments | $ 484.0 M | |
| LIABILITIES | ||
| Accounts Payable | $ 376.0 M | |
| Short-Term Debt | $ 25.0 M | |
| Total Current Liabilities | $ 4.5 B | |
| Net Debt | $ 11.4 B | |
| Total Debt | $ 13.1 B | |
| Total Liabilities | $ 22.1 B | |
| EQUITY | ||
| Total Equity | $ -5.39 B | |
| Retained Earnings | $ -1.51 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ -23.38 | |
| Shares Outstanding | 230.433 M | |
| Revenue Per-Share | $ 13.40 | |
| VALUATION | Market Capitalization | $ 67.1 B |
| Enterprise Value | $ 79.3 B | |
| Enterprise Multiple | 123.675 | |
| Enterprise Multiple QoQ | 37.228 % | |
| Enterprise Multiple YoY | 11.678 % | |
| Enterprise Multiple IPRWA | high: 130.17 HLT: 123.675 mean: 75.968 median: 73.484 low: -2.827 |
|
| EV/R | 25.68 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | -3.113 | |
| Asset To Liability | 0.758 | |
| Debt To Capital | 1.699 | |
| Debt To Assets | 0.781 | |
| Debt To Assets QoQ | 5.167 % | |
| Debt To Assets YoY | 2310.593 % | |
| Debt To Assets IPRWA | high: 1.609 median: 0.79 HLT: 0.781 mean: 0.707 low: 0.019 |
|
| Debt To Equity | -2.43 | |
| Debt To Equity QoQ | -2.964 % | |
| Debt To Equity YoY | 1592.811 % | |
| Debt To Equity IPRWA | high: 12.912 median: 0.252 mean: 0.177 HLT: -2.43 low: -8.585 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | -12.454 | |
| Price To Book QoQ | -0.315 % | |
| Price To Book YoY | -22.228 % | |
| Price To Book IPRWA | high: 26.123 median: 3.693 mean: 0.285 HLT: -12.454 low: -26.316 |
|
| Price To Earnings (P/E) | 139.996 | |
| Price To Earnings QoQ | 11.728 % | |
| Price To Earnings YoY | -0.17 % | |
| Price To Earnings IPRWA | high: 247.068 HLT: 139.996 mean: 125.042 median: 100.951 low: -96.27 |
|
| PE/G Ratio | 8.306 | |
| Price To Sales (P/S) | 21.736 | |
| Price To Sales QoQ | 10.066 % | |
| Price To Sales YoY | 1.36 % | |
| Price To Sales IPRWA | high: 27.836 HLT: 21.736 mean: 13.149 median: 10.375 low: 0.273 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 105.893 | |
| Forward PE/G | 6.283 | |
| Forward P/S | 42.967 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 20.941 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.185 | |
| Asset Turnover Ratio QoQ | -3.63 % | |
| Asset Turnover Ratio YoY | 10.245 % | |
| Asset Turnover Ratio IPRWA | high: 0.603 mean: 0.203 HLT: 0.185 median: 0.168 low: 0.063 |
|
| Receivables Turnover | 1.847 | |
| Receivables Turnover Ratio QoQ | -1.472 % | |
| Receivables Turnover Ratio YoY | 5.547 % | |
| Receivables Turnover Ratio IPRWA | high: 47.268 mean: 8.166 median: 3.174 HLT: 1.847 low: 0.996 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 49.394 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 49.394 | |
| Cash Conversion Cycle Days QoQ | 1.494 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 84.283 HLT: 49.394 mean: 3.058 median: 2.075 low: -80.186 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -2.042 | |
| CapEx To Revenue | -0.017 | |
| CapEx To Depreciation | -1.106 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 7.0 B | |
| Net Invested Capital | $ 7.0 B | |
| Invested Capital | $ 7.0 B | |
| Net Tangible Assets | $ -17.17 B | |
| Net Working Capital | $ -1.51 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.204 | |
| Current Ratio | 0.665 | |
| Current Ratio QoQ | 0.105 % | |
| Current Ratio YoY | -4.535 % | |
| Current Ratio IPRWA | high: 2.73 mean: 1.015 median: 0.979 HLT: 0.665 low: 0.36 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 20.426 | |
| Cost Of Debt | 0.901 % | |
| Interest Coverage Ratio | 3.6 | |
| Interest Coverage Ratio QoQ | -24.98 % | |
| Interest Coverage Ratio YoY | 14.645 % | |
| Interest Coverage Ratio IPRWA | high: 16.489 mean: 6.026 median: 5.827 HLT: 3.6 low: -12.905 |
|
| Operating Cash Flow Ratio | 0.068 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 8.486 | |
| Dividend Payout Ratio | 0.118 | |
| Dividend Rate | $ 0.15 | |
| Dividend Yield | 0.001 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.799 % | |
| Revenue Growth | -1.058 % | |
| Revenue Growth QoQ | 95.203 % | |
| Revenue Growth YoY | -63.891 % | |
| Revenue Growth IPRWA | high: 27.02 % mean: -0.261 % median: -0.664 % HLT: -1.058 % low: -38.858 % |
|
| Earnings Growth | 16.854 % | |
| Earnings Growth QoQ | -511.978 % | |
| Earnings Growth YoY | -302.256 % | |
| Earnings Growth IPRWA | high: 366.667 % mean: 33.945 % HLT: 16.854 % median: -9.357 % low: -360.784 % |
|
| MARGINS | ||
| Gross Margin | 25.948 % | |
| Gross Margin QoQ | -13.966 % | |
| Gross Margin YoY | 7.941 % | |
| Gross Margin IPRWA | high: 82.469 % median: 44.493 % mean: 41.655 % HLT: 25.948 % low: -4.539 % |
|
| EBIT Margin | 19.242 % | |
| EBIT Margin QoQ | -21.317 % | |
| EBIT Margin YoY | 8.62 % | |
| EBIT Margin IPRWA | high: 58.736 % mean: 22.513 % HLT: 19.242 % median: 12.099 % low: -35.819 % |
|
| Return On Sales (ROS) | 19.501 % | |
| Return On Sales QoQ | -21.695 % | |
| Return On Sales YoY | 10.082 % | |
| Return On Sales IPRWA | high: 45.049 % mean: 23.053 % HLT: 19.501 % median: 14.729 % low: -37.15 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 151.0 M | |
| Free Cash Flow Yield | 0.225 % | |
| Free Cash Flow Yield QoQ | -81.899 % | |
| Free Cash Flow Yield YoY | -73.31 % | |
| Free Cash Flow Yield IPRWA | high: 7.195 % mean: 1.077 % median: 0.741 % HLT: 0.225 % low: -4.042 % |
|
| Free Cash Growth | -80.287 % | |
| Free Cash Growth QoQ | -426.995 % | |
| Free Cash Growth YoY | 334.548 % | |
| Free Cash Growth IPRWA | high: 149.518 % mean: -25.949 % median: -39.842 % HLT: -80.287 % low: -365.169 % |
|
| Free Cash To Net Income | 0.508 | |
| Cash Flow Margin | 9.913 % | |
| Cash Flow To Earnings | 1.03 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 1.778 % | |
| Return On Assets QoQ | -31.112 % | |
| Return On Assets YoY | -41.532 % | |
| Return On Assets IPRWA | high: 6.953 % mean: 2.474 % median: 1.819 % HLT: 1.778 % low: -1.777 % |
|
| Return On Capital Employed (ROCE) | 4.843 % | |
| Return On Equity (ROE) | -0.055 | |
| Return On Equity QoQ | -35.275 % | |
| Return On Equity YoY | -59.321 % | |
| Return On Equity IPRWA | high: 0.437 median: 0.026 mean: 0.015 HLT: -0.055 low: -0.363 |
|
| DuPont ROE | -5.756 % | |
| Return On Invested Capital (ROIC) | 5.916 % | |
| Return On Invested Capital QoQ | -25.407 % | |
| Return On Invested Capital YoY | -111.635 % | |
| Return On Invested Capital IPRWA | high: 20.375 % mean: 6.485 % median: 6.096 % HLT: 5.916 % low: -5.359 % |
|