Share-Based Compensation (Tables)

9 Months Ended

Sep. 30, 2024

Share-Based Payment Arrangement [Abstract]

Schedule of Stock Options Valuation Assumptions

The weighted average grant date fair value per share of the options granted during the nine months ended September 30, 2024 was $71.25, which was determined using the Black-Scholes-Merton option-pricing model with the following weighted average assumptions:

Expected volatility(1)	27.94	%
Dividend yield(2)	0.33	%
Risk-free rate(3)	4.17	%
Expected term (in years)(4)	6.0

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(1)Estimated using a blended approach of historical and implied volatility. Historical volatility is based on the historical movement of Hilton's stock price for a period that corresponds to the expected terms of the options.

(2)Estimated based on our quarterly dividend and the three-month average stock price at the date of each grant.

(3)Based on the yields of U.S. Department of Treasury instruments with similar expected terms of the options at the date of each grant.

(4)Estimated using the midpoint of the vesting periods and the contractual terms of the options as we do not have sufficient historical share option exercise data to estimate the terms of our option grants.