Pershing Square Holdings, an investment holding company, released its first half 2023 investor letter. A copy of the same can be downloaded here. The fund generated NAV performance of 10.0% during the first half of 2023 and a total shareholder return of 5.4% due to the widening of discount to NAV at which PSH’s shares trade. Year-to-date, PSH’s NAV return through August 15, 2023, was 13.1% compared to 16.8% for the S&P 500 index. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Pershing Square Holdings highlighted stocks like Hilton Worldwide Holdings Inc. (NYSE:HLT) in the first half 2023 investor letter. Headquartered in McLean, Virginia, Hilton Worldwide Holdings Inc. (NYSE:HLT) is a hospitality company. On September 1, 2023, Hilton Worldwide Holdings Inc. (NYSE:HLT) stock closed at $151.00 per share. One-month return of Hilton Worldwide Holdings Inc. (NYSE:HLT) was -1.62%, and its shares gained 18.44% of their value over the last 52 weeks. Hilton Worldwide Holdings Inc. (NYSE:HLT) has a market capitalization of $39.489 billion.
Pershing Square Holdings made the following comment about Hilton Worldwide Holdings Inc. (NYSE:HLT) in its first half 2023 investor letter:
Hilton Worldwide Holdings Inc. (NYSE:HLT) is a high-quality, asset-light, high-margin business with significant long-term growth potential. In the first half of 2023, Hilton generated robust revenue growth. In the second quarter, HLT’s revenue per room (“RevPAR”), the industry metric for same-store sales, increased 12% as compared to 2022. Recent quarters continue to benefit from stable demand and rising rates driving leisure growth to new highs, while business transient continues to sequentially accelerate, with group sales just now approaching pre-COVID levels.
While net managed and franchised units grew 4% year-over-year during the most recent quarter, slightly below the full year target which Hilton adjusted to approximately 5% per annum, net unit growth (“NUG”) is poised to accelerate in the back half of the year. While management anticipates NUG of approximately 5% this year, they anticipate it will accelerate to 5-6% in 2024 and return to its historical 6-7% range over the next several years. Net unit growth is poised to accelerate in 2024 as Hilton begins to roll out its new premium economy and long-term-stay concepts (Spark and H3, respectively) and as international development activity accelerates. Hilton signed more than 36,000 rooms in the quarter, the largest quarterly signing in the company’s history. The company’s pipeline includes 441,000 rooms with approximately 50% under construction…” (Click here to read the full text)
Hilton Worldwide Holdings Inc. (NYSE:HLT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 58 hedge fund portfolios held Hilton Worldwide Holdings Inc. (NYSE:HLT) at the end of second quarter which was 63 in the previous quarter.
We discussed Hilton Worldwide Holdings Inc. (NYSE:HLT) in another article and shared the list of best companies to work for in 2023. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
