Gaylord Entertainment shares decline after meeting

Gaylord shares fell 67 cents, or 2.7 percent, to $24.27 in afternoon trading, after hitting a 52-week low of $23.93 earlier in the session. The stock has fallen from a 52-week high of $59.89 last August to reach a previous low of $24.59 on Wednesday.

However, Wachovia Capital Markets LLC Jeffrey Donnelly said Gaylord's occupancy and operating profit for 2008 to 2009 are providing a more resilient, visible earnings stream than its peers during an industry downturn.

"Yet while this should be the moment the steady, defensive nature of GET's model should lead its stock to outperform its hotel peers, it is perhaps the lowest valued, worst-performing hotel company," he wrote in a note to clients.

Donnelly said concerns about leverage, funding for future projects, rising attrition, and transient demand are weighing on the shares. While the concerns are legitimate, transient demand and attrition pose a "relatively lower threat" to Gaylord, he said.

Citi Investment Research analyst Joshua Attie and Deutsche Bank analyst Chris Woronka both affirmed "Buy" ratings on the stock. Woronka noted that the company implied it may be in discussions with potential capital partners. He said any announcement of a strategic transaction could produce sharp upside in the stock price.

But Goldman Sachs analyst Steven Kent maintained a "Neutral" rating on the stock, citing accelerating supply and early signs of weakening business travel.

"The meeting was well attended, but investors appeared to be very skeptical about Gaylord's ability to surpass near-term challenges," he said in a note to clients.