The company said that weak hotel demand in August and September forced it to lower its revenue per available room growth expectations to between 3.5% and 4.5% from its previous growth expectations between 4.5% and 5.5%.
The company also said its expects pro forma EBITDA to now be between $393 million and $400 million, down from its previous view between $398 million and $404 million.
Hilton shares are falling on heavy volume as 9 million shares have been traded so far today versus its daily moving average of 8.2 million shares.
Separately, TheStreet Ratings team rates HILTON WORLDWIDE HOLDINGS as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate HILTON WORLDWIDE HOLDINGS (HLT) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and weak operating cash flow."
Highlights from the analysis by TheStreet Ratings Team goes as follows: