The announcement was made last night and company CFO Keith Cline has been appointed as La Quinta's interim president and CEO.
Following a "mutual agreement" with the company's board of directors Goldberg stepped down from his role as CEO, which he began in 2006.
"La Quinta has an exceptionally strong and experienced management team in place to continue the company's robust franchise growth, deliver the outstanding experiences its guests have come to expect, and drive shareholder value," La Quinta's Chairman of the Board Mitesh Shah said in a statement.
Additionally, La Quinta has reduced its 2015 revenue per available room guidance following weaker than expected demand in August and September.
The company expects pro forma adjusted EBITDA to be in a range between $393 million and $400 million, down from its previous guidance between $398 million and $404 million.
Separately, TheStreet Ratings team rates LA QUINTA HOLDINGS INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate LA QUINTA HOLDINGS INC (LQ) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its generally disappointing historical performance in the stock itself, generally high debt management risk and weak operating cash flow. "
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- LQ has underperformed the S&P 500 Index, declining 10.22% from its price level of one year ago. Looking ahead, other than the push or pull of the broad market, we do not see anything in the company's numbers that may help reverse the decline experienced over the past 12 months. Despite the past decline, the stock is still selling for more than most others in its industry.
- The debt-to-equity ratio is very high at 2.14 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. To add to this, LQ has a quick ratio of 0.58, this demonstrates the lack of ability of the company to cover short-term liquidity needs.
- Net operating cash flow has decreased to $75.70 million or 10.61% when compared to the same quarter last year. In conjunction, when comparing current results to the industry average, LA QUINTA HOLDINGS INC has marginally lower results.
- Compared to other companies in the Hotels, Restaurants & Leisure industry and the overall market, LA QUINTA HOLDINGS INC's return on equity significantly trails that of both the industry average and the S&P 500.
- The gross profit margin for LA QUINTA HOLDINGS INC is rather high; currently it is at 55.70%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -1.70% is in-line with the industry average.
- You can view the full analysis from the report here: LQ