NEW YORK ABN AMRO, in its most recent “flashnote” has reduced 2001 and 2002 earnings per share (EPS) estimates on three of the seven industry stocks it tracks.
ABN has accordingly reduced EPS estimates for Marriott, Starwood and Hilton, citing the belief that previous assumptions and inputs were not conservative enough to account for the impact of the slowing U.S. economy.
Starwood EPS estimates were lowered $0.05 to $2.20, Hilton was lowered $0.03 to $0.74 and Marriott s EPS estimates were reduced $0.07 to $2.08 per share. While the EPS estimates were lowered for these three stocks, ABN maintains its overall ratings on each of the seven stocks it monitors. The company has given Starwood and Extended Stay America “Buy” ratings, Hilton and Sun International “Add” ratings, and Four Seasons, Marriott International and Orient-Express “Hold” ratings.
As previously reported by HOTEL BUSINESS., hotel companies are expected to reduce their earnings forecast for the remainder of 2001 following their respective 1Q reports. (4/18/01)