Earnings Preview: Hyatt Hotels (H) Q1 Earnings Expected to Decline

Core Viewpoint - The market anticipates a year-over-year decline in earnings for Hyatt Hotels due to lower revenues, with the actual results being crucial for near-term stock price movements [1][2]. Earnings Expectations - Hyatt Hotels is expected to report quarterly earnings of $0.30 per share, reflecting a year-over-year decrease of 57.8% [3]. - Revenues are projected to be $1.7 billion, down 0.8% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 3% lower in the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Hyatt Hotels is lower than the Zacks Consensus Estimate, leading to an Earnings ESP of -25.21% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with significant predictive power for positive readings [7][8]. - Stocks with a positive Earnings ESP and a Zacks Rank of 1, 2, or 3 have historically produced positive surprises nearly 70% of the time [8]. Historical Performance - In the last reported quarter, Hyatt Hotels was expected to post earnings of $0.68 per share but only achieved $0.42, resulting in a surprise of -38.24% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates twice [13]. Conclusion - Hyatt Hotels does not appear to be a strong candidate for an earnings beat, and investors should consider other factors when evaluating the stock ahead of the earnings release [16].