Travel + Leisure Co.
$69.87
-2.4%Travel + Leisure Co., together with its subsidiaries, provides hospitality services and products in the United States and internationally. The company operates in two segments, Vacation Ownership; and Travel and Membership. The Vacation Ownership segment develops, markets, and sells vacation ownership interests (VOIs) to individual consumers; provides consumer financing in connection with the sale of VOIs; and provides property management services at resorts. The Travel and Membership segment operates various businesses, including three vacation exchange brands, a home exchange network, travel technology platforms, travel memberships, and direct-to-consumer rentals. As of January 26, 2022, it had approximately 245 vacation ownership resorts. It also offers private-label travel booking technology solutions. The company was formerly known as Wyndham Destinations, Inc. and changed its name to Travel + Leisure Co. in February 2021. Travel + Leisure Co. was founded in 1990 and is headquartered in Orlando, Florida.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is mid-range (P/E 19.9).
Valuation inputs: P/E 19.9, earnings yield +5.0%, momentum -2.4%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -23.4%, ROIC +16.3%).
Profitability stack: net margin +5.7%, ROE -23.4%, ROIC +16.3%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +114.5%, momentum -2.4%, net margin +5.7%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Travel + Leisure Co. Market vs Earnings Trajectory
Loading price and EPS data...
Travel + Leisure Co. Fair Value Envelope
Travel + Leisure Co. Profit Bridge
Profitability Analysis
Gross Margin
Moderate margins typical of competitive industries. Monitor for pricing pressure or rising costs.
Operating Margin
Healthy operating margins demonstrate effective cost control and strong business fundamentals.
Net Profit Margin
Moderate profitability with room for improvement. Monitor interest expenses and tax efficiency.
Effective Tax Rate
Higher tax burden may reflect limited tax optimization or operations in high-tax jurisdictions.
Profitability Insight
Room for improvement: Moderate profitability with opportunities to enhance margins through better cost management or pricing strategy.
Travel + Leisure Co. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.
Cash Flow Quality Insight
Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.
Travel + Leisure Co. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
Travel + Leisure Co. Street Expectations Map
Wall Street analysts project that TNL stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 86.88, with estimates ranging from a low of 74.00 to a high of 107.00.
The consensus 1-year price target stands at 86.88, with estimates ranging from a low of 74.00 to a high of 107.00.
Analyst Consensus Analysis
Upside Potential
Strong upside potential. Consensus indicates attractive return opportunity with favorable risk-reward profile.
Analyst Agreement
Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.
Analyst Conviction
Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.
Market Sentiment Insight
Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.
Travel + Leisure Co. Insider Positioning
During the last 12 months, insiders have purchased $153K and sold $39.41M worth of TNL shares, resulting in $39.26M of net selling activity.
3 Months
1.0K
65.67K
59.1K
4.34M
-4.3M
-$4.27M
3-6 Months
0
0.00
21.1K
1.55M
-1.5M
-$1.55M
6-9 Months
0
0.00
138.5K
9.11M
-9.1M
-$9.11M
9-12 Months
1.5K
87.58K
396.8K
24.41M
-24.3M
-$24.33M
Top Buyers
Brown Michael Dean
Director, Officer: See Remarks
$88K
Hoag Erik D
Officer: Chief Financial Officer
$66K
Top Sellers
Richards Geoffrey
Officer: See Remarks
$12.96M
Myers Jeffrey
Officer: See Remarks
$12.85M
Savina James J
Officer: See Remarks
$7.13M
Brown Michael Dean
Director, Officer: See Remarks
$3.00M
Marshall Kimberly
Officer: Chief Human Resources Officer
$2.06M
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $39.26M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider sellers vs. 2 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
tnl Dividend History
Learning Layer
Related Guides
Build conviction on TNL by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.