Hilton Worldwide Holdings Inc.
- Open
- 328.03
- Day high
- 333.78
- Day low
- 326.04
- Prev close
- 324.97
- Volume
- 1.9M
- Mkt cap
- $75.3B
- P/E (TTM)
- 50.1
- EPS (TTM)
- $6.61
- P/B
- -12.8
- P/S
- 6.1
- Yield
- 0.18%
- Per share
- $0.60
Hilton Worldwide Holdings Inc. (HLT) is a Consumer Cyclical company listed on NYSE. The stock is up 22% over the past year. Drillr has 1 published research article covering HLT.
Hilton Worldwide Holdings Inc. (HLT) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 11 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
HLT earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 28, 2026 | $1.98 | $2.01 | +1.5% | $2.9B | -0.4% |
| Feb 11, 2026 | $2.02 | $2.08 | +3.0% | $3.1B | +3.1% |
| Oct 22, 2025 | $2.06 | $2.11 | +2.4% | $3.1B | +3.7% |
| Jul 23, 2025 | $2.05 | $2.20 | +7.3% | $3.1B | +1.3% |
| Feb 6, 2025 | $1.67 | $1.76 | +5.4% | $2.8B | +0.2% |
| Oct 23, 2024 | $1.84 | $1.92 | +4.3% | $2.9B | -1.0% |
| Feb 7, 2024 | $1.56 | $1.68 | +7.7% | $2.6B | -0.0% |
| Oct 25, 2023 | $1.67 | $1.67 | +0.0% | $2.7B | +2.3% |
| Jul 26, 2023 | $1.58 | $1.63 | +3.2% | $2.7B | +3.3% |
| Feb 9, 2023 | $1.20 | $1.59 | +32.5% | $2.4B | +4.2% |
| Oct 26, 2022 | $1.24 | $1.31 | +5.6% | $2.4B | -1.8% |
| Jul 27, 2022 | $1.04 | $1.29 | +24.0% | $2.2B | +6.1% |
HLT insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 1, 2026 | SMITH ELIZABETH Adirector | Grant | 8 | — |
| Jul 1, 2026 | Healey Melaniedirector | Grant | 6 | — |
| Jul 1, 2026 | Carr Chrisdirector | Grant | 3 | — |
| Jul 1, 2026 | Mabus Raymond Edirector | Grant | 5 | — |
| Jul 1, 2026 | STEENLAND DOUGLAS Mdirector | Grant | 9 | — |
| Jul 1, 2026 | MAYER MARISSA Adirector | Grant | 1 | — |
| Jul 1, 2026 | BEGLEY CHARLENE Tdirector | Grant | 6 | — |
| Jul 1, 2026 | GRAY JONATHANdirector | Grant | 4 | — |
| May 18, 2026 | SMITH ELIZABETH Adirector | Grant | 742 | — |
| May 18, 2026 | STEENLAND DOUGLAS Mdirector | Grant | 742 | — |
| May 18, 2026 | Mabus Raymond Edirector | Grant | 742 | — |
| May 18, 2026 | BEGLEY CHARLENE Tdirector | Grant | 742 | — |
| May 18, 2026 | GRAY JONATHANdirector | Grant | 742 | — |
| May 18, 2026 | Carr Chrisdirector | Grant | 742 | — |
| May 18, 2026 | MAYER MARISSA Adirector | Grant | 742 | — |
Source: HLT SEC Form 4 filings, latest Jul 1, 2026. For informational purposes only — not investment advice.
See the full HLT insider & 13F page →Hilton Worldwide Holdings Inc. company profile
Overview
Hilton Worldwide Holdings Inc. (NYSE:HLT) is one of the world's largest hospitality companies, founded in 1919 by Conrad Hilton when he purchased his first hotel in Cisco, Texas. The company went public in 2013 after being taken private by Blackstone Group in 2007. Today, Hilton operates a global portfolio of over 8,000 hotels across 122 countries and territories, serving more than 224 million guests annually through its extensive network of 18 distinct hotel brands ranging from luxury to economy segments.
Business
Hilton operates in the hospitality industry, specifically in the hotel and lodging sector. The company functions primarily as a hotel management and franchise company rather than a traditional hotel owner, operating through two main business segments: Management and Franchise (which generates the majority of revenue) and Ownership (a much smaller segment). The company's core business revolves around brand licensing and hotel management services. Hilton licenses its brand names to hotel owners and operators worldwide, providing them with reservation systems, marketing support, operational standards, and quality assurance. The hospitality industry operates on a model where most hotels are owned by independent investors or real estate companies, but are operated under established brand names that provide guests with consistent service standards and loyalty program benefits. Hilton's brand portfolio spans the entire hospitality spectrum with 18 distinct brands. At the luxury end, brands include Waldorf Astoria Hotels & Resorts (ultra-luxury), Conrad Hotels & Resorts (luxury), and LXR Hotels & Resorts (luxury collection). The premium and full-service segment includes the flagship Hilton Hotels & Resorts brand, DoubleTree by Hilton, and Embassy Suites by Hilton. In the focused-service and economy segments, the company operates Hampton by Hilton (their largest brand by unit count), Hilton Garden Inn, Tru by Hilton, and Home2 Suites by Hilton. The company has also expanded into lifestyle and boutique segments with brands like Canopy by Hilton, Tapestry Collection, and recently added Graduate Hotels and partnerships with Small Luxury Hotels. The Management and Franchise segment represents approximately 95% of total revenue, while the Ownership segment (where Hilton actually owns hotel properties) accounts for roughly 5% of revenue. The company has been strategically divesting owned properties to focus on the higher-margin, asset-light franchise and management model.
Revenue model
Hilton generates revenue through several complementary streams within its asset-light business model. The primary revenue source comes from franchise fees, where hotel owners pay Hilton typically 4-6% of gross room revenue for the right to use Hilton's brand names, reservation systems, and operational support. Additionally, the company earns management fees from properties it directly manages, usually ranging from 2-4% of gross revenue plus incentive fees based on profitability performance. The company also generates significant income from its Hilton Honors loyalty program, earning fees when members redeem points at partner hotels and through co-branded credit card partnerships. Other revenue streams include reservation and technology fees, marketing and advertising fees charged to franchisees, and revenue from the small portfolio of owned properties. Hilton's customers are primarily hotel owners and real estate investors who pay franchise and management fees, rather than individual travelers who stay at the hotels. These hotel owners choose Hilton's brands because they provide access to the company's global distribution system, 200+ million Hilton Honors members, and established operational expertise that typically commands higher room rates and occupancy levels compared to independent hotels. Several factors influence Hilton's profitability margins. Positive margin drivers include growing travel demand (particularly business and group travel recovery), the company's ability to increase franchise fees during contract renewals, expansion in higher-fee international markets, and growth in higher-margin luxury and lifestyle brands. The asset-light model provides natural operating leverage, where incremental revenue from new hotels or higher RevPAR (Revenue per Available Room) flows largely to the bottom line since the company doesn't bear property ownership costs. Negative margin pressures include economic downturns that reduce travel demand and hotel profitability, increased competition from alternative lodging providers like Airbnb, potential franchisee financial distress that could impact fee collection, and the ongoing shift toward leisure travel which typically generates lower fees than business travel. Additionally, rising construction and labor costs can slow new hotel development, limiting the company's unit growth that drives long-term fee revenue expansion.
Competitive moat
Hilton possesses a moderately strong economic moat built primarily on brand recognition, network effects, and switching costs, though the moat faces some modern challenges. The company's primary competitive advantage stems from its global brand portfolio and distribution network. The Hilton name carries significant brand equity built over more than a century, providing hotel owners with immediate market recognition and the ability to command premium room rates compared to independent properties. The Hilton Honors loyalty program creates powerful network effects, with over 200 million members representing a substantial customer acquisition and retention tool for franchisees. This loyalty program generates switching costs for both hotel owners (who benefit from the customer flow) and travelers (who accumulate points and status benefits). The company's global reservation system and technology platform provide additional switching costs, as franchisees become integrated with Hilton's operational systems. Hilton's scale advantages in marketing, technology development, and purchasing power create barriers for smaller competitors. The company can spread these fixed costs across thousands of properties, providing economic benefits that independent hotels or smaller chains cannot match. Additionally, prime real estate locations often prefer established brands with proven track records, creating some barriers to entry for new competitors. However, the moat faces significant challenges from alternative accommodation providers like Airbnb and VRBO, which have captured meaningful market share, particularly in leisure travel segments. These platforms offer unique properties and often lower costs, appealing especially to younger travelers. Additionally, direct booking trends and online travel agencies (OTAs) like Booking.com and Expedia have reduced some of the distribution advantages that traditional hotel brands historically enjoyed. The competitive threat also comes from other established hotel chains like Marriott, IHG, and Accor, which offer similar loyalty programs and brand recognition. The hospitality industry's relatively low barriers to entry for management and franchise models means that competitive advantages must be continuously reinforced through innovation, customer service, and strategic brand positioning.
Risks & safety
Hilton presents a moderate margin of safety with strong cash generation capabilities but elevated valuation metrics and some balance sheet concerns. • Cash Generation and Solvency: Strong free cash flow of $1.8 billion in 2024 provides substantial financial flexibility. Operating cash flow of $2.0 billion demonstrates the asset-light model's cash generation power. However, the company carries significant debt with total liabilities of $20.2 billion versus total assets of $16.5 billion, creating negative shareholder equity. • Liquidity Position: Cash and short-term investments of $1.3 billion provide adequate liquidity, though current ratio of 0.70 indicates current liabilities exceed current assets. The company maintains access to credit facilities and generates consistent cash flow to meet obligations. • Valuation Metrics: Trading at elevated multiples with P/E ratio of 40x and EV/EBITDA of 29x, suggesting limited margin of safety from a valuation perspective. These metrics are above historical hospitality industry averages and indicate high growth expectations are already priced in. • Other Considerations: The asset-light franchise model provides some downside protection during economic downturns, as the company doesn't bear property ownership risks. However, negative shareholder equity of -$3.7 billion primarily reflects the company's leveraged capital structure from its private equity ownership period. Debt-to-equity ratio metrics are distorted by negative equity but underlying business generates strong returns on invested capital.
Recent development
Over the past several years, Hilton has executed a clear strategic transformation toward an asset-light, franchise-focused business model while aggressively expanding its brand portfolio and global footprint. The company has consistently achieved net unit growth of 6-7% annually, opening nearly 1,000 hotels in 2024 alone and reaching over 8,000 properties worldwide. A key strategic initiative has been brand portfolio expansion and diversification. Hilton launched Spark by Hilton as a conversion-focused brand targeting the premium economy segment, which has shown strong traction with 27 openings in its first year. The company acquired Graduate Hotels to strengthen its lifestyle portfolio and formed a strategic partnership with Small Luxury Hotels (SLH), adding nearly 400 boutique luxury properties to its system. These moves expanded Hilton's luxury and lifestyle segment to over 900 hotels, representing about half of all new openings. International expansion has been another major focus, with 50% of new hotel openings occurring outside the United States. The company has entered new markets across Asia Pacific, Middle East, and Europe, with particular emphasis on high-growth markets like India and Southeast Asia. Despite challenges in China, Hilton has maintained its development momentum in other Asia Pacific markets. The company has also invested heavily in technology and customer experience enhancements. The Hilton Honors loyalty program has grown to over 200 million members, and the company has formed strategic partnerships with brands like Peloton and Calm to enhance wellness offerings. Additionally, Hilton has expanded its EV charging network partnerships and launched the Hilton for Business program targeting small and medium enterprises. Conversion strategy has become increasingly important, with conversions representing 40-50% of new openings. This approach allows faster growth with lower development risk, as existing properties are rebranded under Hilton's portfolio rather than built from scratch.
HLT company profile · for informational purposes only — not investment advice.
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