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DRII $30.22

DRII target price
30.22
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Diamond Resorts International, Inc.
Type
Private
(Acquisition by Apollo Global Management pending)
Industry Vacation Ownership, Timeshare
Founded 1992; 25 years ago (1992)
Headquarters Las Vegas, Nevada, U.S.
Area served
Worldwide
Key people
Stephen J. Cloobeck, (Founder)
Michael Flaskey, (CEO,
Products Vacation Ownership, Timeshare
Revenue Increase$230.7 million (EBITDA, 2013)
Website diamondresorts.com

Diamond Resorts International (DRI) is a timeshare company headquartered in Las Vegas, Nevada. They own a network of 379 vacation destinations.

On June 29, 2016, Apollo Global Management made a successful offer to purchase Diamond Resorts International.

In October 2015 DRI bought out Gold Key Resorts for $167.5 million. This acquisition added five vacation ownership resorts in Virginia Beach, Virginia, and one in the Outer Banks, North Carolina.

The founder, Stephen J. Cloobeck, was featured in the season premiere of Undercover Boss Season 4 on January 15, 2012. He was the first Chairman and CEO to go undercover a second time on November 30, 2012.

Diamond Resorts International is notable for high-pressure sales tactics used to close sales and generate fees for consumers. Club members are charged yearly maintenance fees (including management fees), which are set by Diamond Resorts International and which the FTC warns are likely to rise every year. Diamond Resorts International's official 2014 SEC filing states that club members do not have the right to terminate membership, except in certain areas where consumers are protected by state law. Jeff Weir, a Diamond timeshare owner and journalist covering the timeshare industry, told the New York Times: "In my experience, Diamond is much more ambitious, aggressive and downright nasty in their sales presentations compared to Marriott and Westin. Diamond just has an amazing reputation of being tough on people."

David F. Palmer, Diamond’s chief executive, sees its sales methods in a very different light. In an interview, Mr. Palmer described how Diamond tries to bring fun to its customer interactions, both before an initial sale and once a member buys in. "The industry didn’t quite realize that you have to engage and create intimacy and pervasiveness with somebody that you don’t really know," he said. "Our lifetime subscription model creates a series of systems where you can track that engagement and make sure you are constantly providing a series of experiences that exceed their expectations over many, many years."

Of the 54 customer reviews posted on the BBB.org website, 1 is positive, 1 is neutral and 52 are negative.

Diamond Resorts was compelled to settle with the State of Arizona for $800,000 in December 2016. The State has received hundreds of consumer complaints against Diamond Resorts. Consumers complained that Diamond used deceptive sales practices and made numerous oral misrepresentations and false statements during timeshare sales presentations. Some of the alleged misrepresentations are related to:

The Arizona Attorney General's Office alleged that Diamond employees’ actions and statements violated the Arizona Consumer Fraud Act.

Q reports

Period Date Adjusted Actuals EPS GAAP EPS

Ratings

2016-07-01 Downgrade SunTrust Buy to Neutral
2016-07-01 Downgrade SunTrust Banks Inc. Buy to Neutral
2016-06-30 Downgrade MKM Partners Buy to Neutral $26.00 to $30.25
2016-06-30 Downgrade Goldman Sachs Buy to Neutral $32.00
2016-06-30 Downgrade Goldman Sachs Group Inc. Buy to Neutral $32.00
2016-05-05 Lower Price Target MKM Partners Buy $27.00 to $26.00
2016-04-14 Initiated Coverage MKM Partners Buy $27.00
2016-02-25 Boost Price Target Credit Suisse Outperform $25.00 to $31.00
2016-02-25 Boost Price Target Credit Suisse Group AG Outperform $25.00 to $31.00
2016-02-04 Initiated Coverage Credit Suisse Outperform $25.00
2015-09-03 Reiterated Rating Imperial Capital Outperform $42.00
2015-07-24 Initiated Coverage SunTrust Buy $38.00
2015-03-30 Boost Price Target Credit Suisse Outperform $38.00 to $39.00
2015-02-25 Boost Price Target Imperial Capital Outperform $38.00 to $42.00
2015-02-19 Boost Price Target JPMorgan Chase & Co. Overweight $32.00 to $42.00
2015-02-19 Boost Price Target JMP Securities Market Outperform $39.00 to $43.00
2015-01-15 Boost Price Target JMP Securities Market Outperform $30.00 to $39.00
2015-01-12 Upgrade Goldman Sachs Neutral to Buy $27.00 to $34.50
2014-11-12 Boost Price Target Imperial Capital Outperform $34.00 to $38.00
2014-10-30 Reiterated Rating JMP Securities Market Outperform $28.00 to $30.00
2014-10-30 Reiterated Rating Credit Suisse Outperform $27.00 to $28.00
2014-10-13 Initiated Coverage Goldman Sachs Neutral $24.50
2014-10-07 Reiterated Rating JPMorgan Chase & Co. Overweight $27.00 to $31.00
2014-08-04 Initiated Coverage Imperial Capital Outperform $34.00
2014-07-31 Reiterated Rating Credit Suisse Outperform $24.00 to $27.00
2014-07-31 Boost Price Target JMP Securities Outperform $26.00 to $28.00
2014-07-31 Boost Price Target JPMorgan Chase & Co. Overweight $23.00 to $27.00
2014-06-19 Reiterated Rating Credit Suisse Outperform $22.00 to $24.00
2014-05-02 Boost Price Target JMP Securities Market Outperform $24.00 to $26.00
2014-05-02 Boost Price Target JPMorgan Chase & Co. Overweight $22.00 to $23.00
2014-01-23 Initiated Coverage JMP Securities Outperform
2013-11-04 Boost Price Target Credit Suisse Buy $21.00 to $22.00
2013-11-01 Boost Price Target JPMorgan Chase & Co. Overweight $20.00 to $22.00
2016-07-01 Downgrade SunTrust Buy to Neutral
2016-07-01 Downgrade SunTrust Banks Inc. Buy to Neutral
2016-06-30 Downgrade MKM Partners Buy to Neutral $26.00 to $30.25
2016-06-30 Downgrade Goldman Sachs Buy to Neutral $32.00
2016-06-30 Downgrade Goldman Sachs Group Inc. Buy to Neutral $32.00

There is presents forecasts of rating agencies and recommendations for investors about this ticker

Funds

In DRII 4 funds of 2213 total. Show all

Fund name Ticker shares
Riverloft Capital Management L.P. 70000
KeyPoint Capital Management, LLC 44122
RUSSELL FRANK CO/ 40000
MANAGED ACCOUNT ADVISORS LLC 19674

Major Shareholders

Name Relationship Total Shares Holding stocks
Cloobeck Diamond Parent, LLC 22.01%  (16626397) DRII /
GUGGENHEIM CAPITAL LLC 8.17%  (6173281) DRII / MRGE /
Palmer David F President, CEO 4.90%  (3699560) DRII /
Cloobeck Stephen J 1.36%  (1025762) DRII /
Flaskey Michael Member of 10% Group 0.17%  (131500) DRII /
Lanznar Howard S EVP and CAO 0.16%  (117231) DRII /
BERKMAN DAVID J Member of 10% Group 0.09%  (66867) ACTA / DRII / ETM /
Garavuso Brian P Member of 10% Group 0.07%  (54541) DRII /
Bell Steven Frank Member of 10% Group 0.07%  (53956) DRII /
Wolf Robert Member of 10% Group 0.07%  (52869) DRII /
Daley Richard M Member of 10% Group 0.06%  (42150) DRII / KO /
WARREN ZACHARY D Member of 10% Group (1), (2) 0.05%  (35699) DRII /
Taitz Hope S 0.04%  (31579) AMTG / DRII / GLRE / INN /
Minerd B. Scott Member of 10% Group (1), (2) 0.04%  (30013) DRII /
Praesumo Partners, LLC Member of 10% Group 0.04%  (28129) DRII /
Kraff Lowell D 0.03%  (24380) DRII /
Del Papa Frankie Sue 0.02%  (16961) DRII /
Gann Lisa M Chief Accounting Officer 0.02%  (12962) DRII /
JONES JEFFREY W 0.02%  (11471) DRII / INN / MTN / NDLS /