Vail Resorts stock price tumbles on downgrades | AspenTimes.com
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Vail Resorts stock price tumbles on downgrades

Edward Stoner
Vail correspondent
Aspen, CO Colorado

VAIL, Colo. ” Vail Resorts stock price dropped Tuesday after two analysts downgraded the stock from “buy” to “neutral,” Thomson Financial, a financial news service, reported.

The stock price closed Tuesday on the New York Stock Exchange at $33.51, down $1.23. Two months ago, the stock was trading above $50.

The analysts cited “difficult domestic economic environment and softer spending trends among the ski resort’s luxury clientele,” according to a press release.

Bank of America analyst Shaun Kelley was reportedly one analyst who downgraded the company.

“Given a significant increase in pricing in recent years … we think further price increases will be more difficult to drive and will lead to lower visitation,” Kelley wrote, according to Thomson Financial.

Joel Simkins of Macquarie Research was another analyst who downgraded the stock, according to the press release.

“Although Vail caters to a higher-end destination traveler, we are concerned that the headwind of costlier airfares could crimp some visitation from domestic customers, offset somewhat by international tourists,” Simkins wrote in a note to clients Tuesday, according to Thomson Financial.

estoner@vaildaily.com


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