Ryman Hospitality Properties: Unique Customer Base, Stable Dividends
Summarize this article with:
Philip Wang943 FollowersFollow5ShareSavePlay(8min)CommentsSummaryRyman Hospitality Properties earns a Buy rating for its resilient, group-focused convention resort REIT model and stable, growing dividends.RHP's unique portfolio, long booking window (2.9 years), and record 7.9 million group room nights provide strong revenue visibility and competitive barriers.With net leverage at 4.4x and $1.3 billion in liquidity, RHP's balance sheet is robust, recently earning a Fitch credit upgrade.Trading at 12.4x Price/AFFO, RHP appears undervalued versus consensus fair value of $112/share, with further dividend increases likely given a 60% payout ratio. Luis Alvarez/DigitalVision via Getty Images Introduction I have written about Ryman Hospitality Properties (RHP) once previously, about 6 months ago. Back then, I gave the company a “Buy” rating due to its resilient business model and stable dividends. With just oneThis article was written byPhilip Wang943 FollowersFollowMy aim is to build a financial portfolio which will enable me to become financially independent. While I have a keen interest in the financial markets, and am constantly seeking to learn more about various sectors, this means I tend to gravitate towards dividend stocks as they will provide me with a steady stream of income to achieve my goal of becoming financially independent.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in RHP over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.