CBRE Raises Forecast for Hotel Performance in 2023
Skift Take
- Earnings rolled out at a rapid pace with Hyatt, Wyndham, Host and Hersha reporting results. Hyatt reported above expectations and sounded very confident on the conference call.
- The lodging stock star of the day was definitely Service Properties Trust. SVC owns nearly 8% of Travel Centers of America and RMR has 1.67%. Travel Center agreed to be bought by BP for $1.3 billion.
- CBRE is raising its forecast for hotel performance on the heels of industry gains in Q4 2022 and the expectation of slightly positive GDP growth in 2023.
The DJIA fell 431 points while Nasdaq was down 215, the S&P 500 fell 57 points and the 10-year treasury yield was up another .03 to 3.84%. Lodging stocks were lower with the exception of SVC, surging 22% on the news below. The new age companies didn’t have a good day with SLNA down -18%, SOND down -10%, MCG falling -9% and VCSA with a -6% decline. The first round of REIT earnings didn’t help the group with HT down -7%, HST and PEB both down -6% and PK, RLJ, SHO and DRH down -5%. On the C-Corp side, CHH fell -5% on the day.
Earnings rolled out at a rapid pace with Hyatt, Wyndham, Host and Hersha reporting results. Hyatt reported above expectations and sounded very confident on the conference call, echoing they have yet to see the much expected slowdown in travel. They repurchased $106 million of Class A shares. Wyndham reported a clean earnings beat and the repurchase of 1.9 million shares for $133 million, a typical WYN qua
