Shares of ski resort operator Vail Resorts Inc. rose more than 4% Thursday, after the company reported stronger-than-expected earnings for its fiscal third quarter despite challenging weather conditions in the western U.S. during this year’s season. CFRA analyst Tuna Amobi reiterated a buy opinion on the stock and raised his 12-month stock price target to $300 from $250, equal to 11% above its current trading level. “We see significantly enhanced economies of scale and diversification after a recent streak of U.S. and international acquisitions (Australia and Canada), and after a recently expanded array of summer activities,” Amobi wrote in a note. Vail posted net profit of $256.3 million, or $6.17 a share, for the quarter, up from $181.1 million, or $4.40 a share, in the year-earlier period. Revenue rose 6.3% to $844.5 million. The FactSet consensus was for EPS of $6.12 and revenue of $824.0 million. Shares have gained 27% in 2018, while the S&P 500 has gained 3.6%.
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