Insights from Deutsche Bank's Lodging Conference
Skift Take
Deutsche Bank's conference highlighted mixed optimism in the gaming, lodging, and leisure sectors, with discussions on election impacts, leisure demand stabilization, corporate travel growth, M&A opportunities, and cautious investor views on resort acquisitions.
The DJIA was down 55 points while Nasdaq was up 112, the S&P 500 was up 23 points and the 10-year treasury yield was down .01 to 4.41%. Lodging stocks were mixed. SOND was up 7% but SVC traded down to another new low, VCSA was down -9% and AHT fell -8% on the day.
Deutsche Bank held their Gaming, Lodging, Leisure & Restaurant Conference last week. DB said the Election issue was prominent with discussions about the impact on business leading up to the voting, potential tax cuts for consumers or corporations, and the potential impact on inflation. Hotel REIT management teams feel leisure RevPAR is close to stabilizing if it has not already. DB said the buy-side consensus is that leisure demand and/or pricing could take a leg down. Both Host Hotels and Park Hotels believe there is a reason for optimism regarding the potential for a more meaningful recovery in visitation to Hawaii in 2025.
