Nomura Initiates Coverage on Hilton Worldwide

In a report Tuesday morning by Nomura, analyst Harry Curtis has initiated coverage on

, starting with a Buy rating with price target at $26. The report notes, "The key drivers if our targets are: 1) ~6% RevPAR growth across HLT's global portfolio, which could be conservative 2) 6% system growth over the next two years, the industry's highest, and 3) 350bps of margin expansion over the next two years" HLT closed Friday at $22.25 and is currently trading down at $22.