Analyst Views: Did IHG’s results yesterday justify the slide in share price?
WYN ELLIS | NUMIS
The numbers themselves are fine and are slightly above consensus estimates. IHG talked about some headwinds in profit terms and increased capital expenditure, which was a bit disappointing and some were expecting a return of cash to shareholders but this is something that is likely to be announced later on in the year.
KARL BURNS | PANMURE GORDON
We were not expecting a buy back but the shares had a decent run into the result so arguably there were people buying into the results expecting a buy back and a being left bit disappointed. However the numbers themselves were ahead of expectations. The results were solid but there were no fireworks.
JAMES HOLLINS | INVESTEC
The results were positive, although 2014 is shaping up as a high capex year, with major refurbishments to assets in Paris, New York and AMEA…Our underlying bullish stance on the group’s global brands and returns model remain undiminished, although our forecasts go under review to reflect the update and disposal.