Goldman Sachs Updates Estimates On Starwood Hotels & Resorts After 4Q Earnings

Goldman Sachs has published a research report on Starwood Hotels & Resorts Worldwide HOT and has updated estimates on the company after Starwood's 4Q results. In the report, Goldman Sachs writes "Our estimates rise on higher owned and leased revenue (two new leased properties and slightly higher RevPAR) and higher management and franchise fees (incentive fees). The increase in revenue is slightly offset by higher owned costs (preopening and South American inflation) and slightly higher SG&A. We are not yet modeling any revenue recognition for the sales at the Bal Harbour residences, but we do include revenue from the hotel in our 2012 estimate. Our new 2011 and 2012 estimates are $1.76 and $2.49, up from $1.65 and $2.35. We are also introducing our 2013 estimate of $2.86. Our new 2011 quarterly estimates are $0.26, $0.46, $0.40, and $0.63, up from $0.25, $0.47, $0.40, and $0.53, respectively." Goldman Sachs maintains its Buy rating and $72 price target. Starwood Hotels & Resorts Worldwide closed Friday at $61.71.