Market's view on Pphe Hotel

Published on April 2024

  • A dividend of 20p was announced today.
  • Positive sentiments on the company’s update were noted.
  • Anticipation of a trading statement was expressed, with queries regarding dividend payment details.
  • Confidence in the stock price standing at 1485p before the trading update, considered undervalued relative to net asset value (NAV).
  • Speculation about the company discussed in a recent publication, suggesting a discount to NAV.
  • Observations on the market beginning to appreciate factors like improving occupancy, room rates, falling energy costs, and new hotels opening. Interest rate cuts were seen as a potential additional benefit.
  • Predictions of stock price reaching 1500-1600p, potentially more if interest rates are cut.
  • Anticipated energy and fuel cost savings starting from April and July were acknowledged.
  • Positive reactions to management insights during an investor presentation and satisfaction with annual report content highlighted.
  • Initial strong momentum for the year noted, along with a 36p dividend.
  • Expectations of forthcoming results and an Extraordinary General Meeting (EGM) were shared.
  • Approval of company management and stock availability issues were discussed.
  • Discussions of a share buyback initiative.
  • Expectations for the stock to increase if management continues to perform, possibly aided by interest rate cuts.
  • Observations on the stock’s positive movement and a large uncrossing trade that temporarily dropped the share price by 5%, debated as a potential buying opportunity.
  • General optimism about the stock’s future potential and encouragement for stockholders in the new year.
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