Hilton Worldwide Holdings Inc. (HLT) stock analysis

P/E above its 5-year median

Hilton Worldwide's P/E of 50.9 is above its own 5-year median of 43.1.

P/E above the industry

Hilton Worldwide's P/E of 50.9 is above the Hotels and Motels median of 25.6.

EV/EBITDA above its 5-year median

Hilton Worldwide's EV/EBITDA of 29.7 is above its 5-year median of 27.1.

P/S above the industry

Hilton Worldwide's price-to-sales of 6.61 is above the Hotels and Motels median of 1.60 (book value is negative, so we use sales).

Trading above fair value

The share price of $376.91 is above our fair value estimate of $211.19.

Margin of safety under 20%

The price is 78.5% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 11.1% a year over the last three fiscal years.

EPS growing 10%+ a year

Diluted EPS grew 10.5% a year over the last three fiscal years.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 8.1% over the last twelve months; the Hotels and Motels median is 3.9%.

Guidance lowered

Hilton Worldwide lowered its Full Year 2026 General and administrative expenses outlook on Oct 27, 2026.

Gross margin trend

This company does not report gross profit.

Return on equity

Needs positive equity and five years of results.

Return on capital over 10%

Return on invested capital was 38.1%, above the 10% that usually covers the cost of capital.

Return on equity against the industry

Needs positive equity.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin above its 5-year average

Net margin was 13.4% over the last twelve months, against a 5-year average of 11.7%.

Net margin above the industry

Hilton Worldwide's net margin of 13.4% is above the Hotels and Motels median of 5.7%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 15.1% of total debt; we look for at least 20%.

Interest not well covered

Operating income covers interest expense 4.4 times; we look for at least 5.

Short-term assets don't cover short-term debts

Current assets are 0.59 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 3.34; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Hilton Worldwide paid dividends worth 0.2% of the share price over the last twelve months.

Yield below Treasuries

The 0.2% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Hilton Worldwide yields 0.2%.

Dividend was cut

The dividend per share fell by more than 10% at least once in the last 10 fiscal years.

Covered by earnings

Dividends take 8.1% of net income.

Covered by free cash flow

Dividends take 7.1% of free cash flow.