Deutsche Bank Reviews HMIN 4Q

Deutsche Bank is commenting on Home Inns & Hotels Management Inc.'s HMIN 4Q results, which it says were “a strong beat on better-than-expected margins as new unit adds were back-end loaded. '11 revenue guidance makes sense to us given the openings schedule, and could prove conservative if pricing increases are achieved.”

“We remain comfortable w/ our and Street forecasts,” Deutsche Bank writes. “We believe the 4Q report should reinforce confidence in HMIN's track record of upside surprises and remove a key overhang on the stock (i.e., fear of a soft quarter).

“The next catalyst could be the sale of the Motel 168 chain, assuming it is purchased by a party other than HMIN at a surprisingly robust multiple (which we believe it may be). We recommend being Buyers of the stock.”

Home Inns & Hotels Management currently trades at $37.86.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Analyst RatingsReviewsConsumer DiscretionaryDeutsche BankHome Inns & Hotels ManagementHotels, Resorts & Cruise Lines
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!