Why Vail Resorts is Poised to Go Downhill

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, ski resort operator Vail Resorts has received the dreaded one-star ranking.

With that in mind, let's take a closer look at Vail, and see what CAPS investors are saying about the stock right now.

Vail facts

Headquarters (founded)

Broomfield, Colo. (1997)

Market Cap

$1.9 billion

Industry

Leisure facilities

Trailing-12-Month Revenue

$1.0 billion

Management

Chairman/CEO Robert Katz

Interim CFO Mark Schoppet

Return on Equity (average, past three years)

3%

Cash/Debt

$44.0 million / $490.4 million

Dividend Yield

1.4%

Competitors

Aspen Skiing Co.

Booth Creek Ski Holdings

Intrawest ULC


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 20% of the 379 members who have rated Vail believe the stock will underperform the S&P 500 going forward.

Just yesterday, one of those Fools, William163264, succinctly summed up the Vail bear case for our community:

I can't help it, I am a value investor. Valuation on this one is reaching 2008 highs, mediocre dividend for a company holding real estate, and sadly likely lots of retail sentiment on this stock by unsophisticated investors is driving the price this time of year. Good skiing, good resort, bad timing for this stock.

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The article Why Vail Resorts is Poised to Go Downhill originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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