Vail Resorts' (MTN) guidance is unlikely to be raised as Colorado and Utah locations are seeing the weakest early season snowfall since the 2017-2018 season and currently have less than 20% of the terrain open, Truist Securities said in a Monday note.
With the company's early season update approaching next month, the brokerage said that while Vail Resorts may or may not reduce its guidance, it will not raise its outlook as a "more normal Christmas experience at Colorado and Utah resorts that more snowfall would bring has not materialized."
Truist also said that this scenario may have already been accounted for in the unchanged guidance issued by Vail Resorts in December.
Subsequently, Truist lowered its fiscal Q2 guidance for adjusted earnings before interest, taxes, depreciation and amortization to $441 million from $475 million. Fiscal 2026 adjusted EBITDA estimate was reduced to $858 million from $896 million.
The firm adjusted its price target on Vail Resorts to $234 from $237 and maintained its buy rating on the company's stock.
Price: 138.01, Change: -2.25, Percent Change: -1.60
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