Orient-Express Hotels Shares Popped: What You Need to Know

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of hotel company Orient-Express Hotels (NYSE: OEH  ) were getting a big boost from investors today, gaining as much as 14% in intraday trading after the company announced fourth-quarter earnings.

So what: Growth was in the cards for the fourth quarter, as total revenue climbed 10% from a year ago -- to $136 million -- as revenue per available room increased 11%. The company still reported a loss for the quarter, but that loss slimmed from $0.16 per share a year ago to $0.09. That result was also better than analysts' estimates, which called for a $0.12-per-share loss. On the basis of adjusted EBITDA -- a cash-flow-like measure -- the final quarter of the year registered 31% YOY growth.

Now what: In 2011 and early this year, the company noted its efforts to strengthen its balance sheet, including the recent sale of a Virginia hotel for $22 million. Now it sounds like continued growth is on the agenda for 2012. While the state of the global economy will definitely play a role in Orient-Express' fortunes, management sounded stoked about what it's seen so far this year. Their press release noted:

[W]e are encouraged by our booking patterns, which indicate continued healthy demand in the luxury travel sector. Total revenue from owned hotels achieved and on the books for 2012 is currently about 8% above the comparable total at the same time last year.

Want to keep up to date on Orient-Express Hotels? Add it to your Watchlist.

Fool contributor Matt Koppenheffer does not have a financial interest in any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or Facebook.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool’s disclosure policy prefers dividends over a sharp stick in the eye.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1790254, ~/Articles/ArticleHandler.aspx, 10/25/2016 3:19:46 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,166.22 -56.81 -0.31%
S&P 500 2,142.94 -8.39 -0.39%
NASD 5,280.41 -29.42 -0.55%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
OEH.DL $0.00 Down +0.00 +0.00%
Orient-Express Hot… CAPS Rating: **