Playa Hotels & Resorts (PLYA) AI Stock Analysis

• Market Cap: $1.66B
• Dividend Yield: N/A
• Average Volume (3M): N/A
• Price to Earnings (P/E): 26.8
• Beta (1Y): 0.60
• Revenue Growth: -9.78%
• EPS Growth: 7.43%
• Country: US
• Employees: 13,000
• Sector: Consumer Cyclical
• Sector Strength: 60
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 0.37
• Shares Outstanding: 123,013,380
• 10 Day Avg. Volume: N/A
• 30 Day Avg. Volume: N/A
• PEG Ratio: 4.04
• Price to Book (P/B): 2.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.24
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 0.55
• Enterprise Value/Gross Profit: 3.97
• Enterprise Value/Ebitda: 2.19
• 1Y Price Target: $13.50
• Price Target Upside: 0.15% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: $15.00 ▲(11.28%Upside)

The overall stock score for Playa Hotels & Resorts is driven primarily by strong financial performance and positive technical indicators. The company's post-pandemic recovery, debt elimination, and cash flow strength are significant positives. However, the valuation appears stretched, and profitability margins suggest room for growth. The lack of dividend yield also slightly detracts from its overall attractiveness.

Positive Factors

Acquisition Strategy

The acquisition is a logical fit for PLYA and a natural progression for Hyatt's growth in the all-inclusive space.

Shareholder Value

The acquisition is seen as a favorable move that unlocks value for PLYA shareholders.

Negative Factors

Stock Rating

Given PLYA shares are trading near the acquisition price, the rating is being moved to Perform from Outperform.

Target Price

The target price is lowered to $13.50, which is equal to the proposed acquisition price.

Playa Hotels & Resorts Business Overview & Revenue Model

Company Description

Playa Hotels & Resorts (PLYA) is a leading owner and operator of all-inclusive luxury resorts located in prime beachfront locations across Mexico and the Caribbean. The company specializes in providing high-quality vacation experiences, offering a range of amenities such as gourmet dining, spa services, and entertainment. Playa Hotels & Resorts operates under several renowned brand names, including Hyatt Zilara, Hyatt Ziva, and Hilton All-Inclusive Resorts, catering to both leisure and business travelers.

How the Company Makes Money

Playa Hotels & Resorts generates revenue primarily through the operation of its all-inclusive resorts. The company's key revenue streams include room bookings, food and beverage sales, and other resort services such as spa treatments and excursions. Playa Hotels & Resorts benefits from strategic partnerships with major hotel brands like Hyatt and Hilton, which help attract a diverse clientele and enhance brand recognition. The all-inclusive model allows the company to optimize occupancy rates and drive consistent revenue by offering comprehensive vacation packages that appeal to a wide range of travelers.

Playa Hotels & Resorts Financial Statement Overview

Summary

Playa Hotels & Resorts demonstrates a strong recovery trajectory post-pandemic, with improving revenue and profitability metrics. The elimination of debt enhances financial flexibility and reduces risk. Positive operating cash flow underlines strong operational performance. However, modest net profit margins and reduced stockholders' equity suggest areas for improvement.

Income Statement

Playa Hotels & Resorts has shown a consistent recovery in revenue since the pandemic, with a significant revenue growth rate from 2020 to 2023. The gross profit margin in the latest period was strong at 100%, indicating efficient cost management. However, there was a decline in revenue from 2023 to 2024. Net profit margin improved over the years but remains modest, suggesting room for profitability enhancement.

Balance Sheet

The company has strengthened its financial position, eliminating total debt by 2024, which improves financial stability. The equity ratio is moderate, indicating a healthy balance between equity and liabilities. Return on Equity has improved, reflecting better utilization of shareholders' funds. However, the stockholders' equity has decreased from previous years, which may pose risks if not managed properly.

Cash Flow

Operating cash flow has been positive and growing, indicating strong cash generation from operations. The free cash flow growth has fluctuated, but recent figures are positive, providing a cushion for future investments. The operating cash flow to net income ratio suggests efficient conversion of income into cash, though free cash flow to net income ratio shows variability, reflecting investment levels.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	905.98M	938.57M	977.50M	856.26M	534.64M	273.19M
Gross Profit	523.64M	440.40M	461.06M	387.53M	201.85M	61.17M
EBITDA	182.97M	238.37M	255.58M	207.91M	57.27M	-98.83M
Net Income	52.63M	73.81M	53.85M	56.71M	-89.68M	-262.37M
Balance Sheet
Total Assets	2.05B	1.82B	1.93B	2.07B	2.06B	2.10B
Cash, Cash Equivalents and Short-Term Investments	281.46M	189.28M	272.52M	283.94M	270.09M	146.92M
Total Debt	1.06B	1.08B	1.07B	1.07B	1.14B	1.25B
Total Liabilities	1.38B	1.34B	1.38B	1.40B	1.43B	1.53B
Stockholders Equity	672.53M	481.89M	554.80M	664.86M	630.83M	568.14M
Cash Flow
Free Cash Flow	23.68M	16.25M	89.95M	129.01M	12.00M	-137.30M
Operating Cash Flow	134.15M	113.12M	136.37M	158.23M	29.64M	-99.94M
Investing Cash Flow	-17.30M	-33.19M	50.53M	-27.15M	73.40M	29.41M
Financing Cash Flow	-136.77M	-163.17M	-198.33M	-140.71M	17.67M	222.46M

Playa Hotels & Resorts Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.48
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLYA, the sentiment is Positive. The current price of 13.48 is above the 20-day moving average (MA) of 13.47, above the 50-day MA of 13.44, and above the 200-day MA of 11.43, indicating a bullish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 61.55 is Neutral, neither overbought nor oversold. The STOCH value of 27.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PLYA.

Playa Hotels & Resorts Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MCRI	79 Outperform	$1.66B	17.69	18.31%	1.34%	3.84%	19.95%
VAC	71 Outperform	$2.77B	13.71	9.43%	3.99%	4.61%	9.16%
PLYA	71 Outperform	$1.66B	26.78	11.21%	―	-9.78%	7.43%
HGV	70 Outperform	$4.11B	137.23	1.90%	―	18.40%	-84.43%
Sector *	67 Neutral	¥253.34B	13.18	6.44%	2.78%	5.06%	-11.83%
PENN	61 Neutral	$2.78B	―	-2.81%	―	5.51%	92.46%
MLCO	58 Neutral	$3.52B	60.62	25.40%	―	14.07%	―

Playa Hotels & Resorts Corporate Events

Hyatt Completes Acquisition of Playa Hotels & Resorts

On June 11, 2025, Playa Hotels & Resorts completed a significant transaction with Hyatt, where 92.7% of Playa’s outstanding shares were tendered and accepted for payment. This acquisition led to the delisting of Playa from Nasdaq and changes in its board of directors and executive officers, with new appointments from Hyatt. Hyatt financed this acquisition through a $1.7 billion delayed draw term loan facility, which was used to repay Playa’s debts and cover related expenses.

The most recent analyst rating on (PLYA) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Playa Hotels & Resorts stock, see the PLYA Stock Forecast page.

Playa Hotels & Resorts to Delist Amid Hyatt Acquisition

On June 6, 2025, Playa Hotels & Resorts announced its intention to voluntarily delist its ordinary shares from Nasdaq, contingent on the expiration of Hyatt Hotels Corporation’s tender offer to acquire all outstanding shares of Playa at $13.50 per share. The Mexican antitrust approval, the final regulatory hurdle, has been granted, paving the way for the transaction’s completion. Assuming all conditions are met, Hyatt is expected to own all ordinary shares of Playa by June 17, 2025, marking a significant shift in Playa’s ownership structure.

The most recent analyst rating on (PLYA) stock is a Buy with a $12.00 price target. To see the full list of analyst forecasts on Playa Hotels & Resorts stock, see the PLYA Stock Forecast page.

Playa Hotels Amends Purchase Agreement with Hyatt

On May 16, 2025, Playa Hotels & Resorts N.V. and Hyatt Hotels Corporation amended their Purchase Agreement from February 9, 2025. The amendment clarifies that Company Restricted Shares, which cannot be tendered in the current tender offer, are excluded from Playa’s share capital for the ‘Minimum Condition’ definition. This adjustment impacts the ongoing tender offer process but does not alter other terms of the agreement.

The most recent analyst rating on (PLYA) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Playa Hotels & Resorts stock, see the PLYA Stock Forecast page.