What to Do With Vail Resorts Now That It Suspended Its Dividend
Vail Resorts (NYSE: MTN), an operator of 17 mountain ski resorts in North America and Australia, just announced the suspension of its dividend for the next two quarters, as well as several other cost-cutting initiatives. At $131.73 per share, the stock is down 48% from its year-to-date high of $254.78. Here's what investors need to know.
When Vail Resorts reported its fiscal 2020 second-quarter results on March 9, it withdrew its previously issued full-year guidance, citing the effects of the coronavirus outbreak. Management said it saw a negative effect during the first week in March, including a modestly lower number of destination skiers, who are out-of-state and international guests.
On March 14, the company announced it was suspending all mountain and retail store operations during the week of March 15 to March 22 and said it would reassess the situation. Then, on March 17, the company announced it was closing all its ski resorts, retail stores, and owned and operated lodging properties for the remainder of the 2019 to 2020 ski season.
Source Fool.com
