World Cup Could Offset Cost Pressures for Hotels in 2026
Skift Take
Jefferies says World Cup should offset cost inflation and geopolitical issues, predicting modest RevPAR growth and solid earnings in 2026. Plus more hotel deal and development news.
The DJIA rose 86 points, the Nasdaq was up 63, the S&P 500 was up 11 points, and the 10-year treasury yield was up .02 to 4.19%. Lodging stocks were mostly lower on the day.Jefferies gave its lodging outlook, saying the World Cup should offset the negatives, such as cost inflation and geopolitical issues. It maintains its view that the Lodging C-Corps are the best business models in its coverage, while REITs should benefit from specific capital projects coming online. In short, it feels 2026 should bring lumpy, modest RevPAR and solid earnings growth, while its new 2027 estimates reflect potentially difficult comps. On the Lodging REIT side, it feels a key aspect of the landscape for 2026 and beyond is the reversal of earnings impact and benefit from completed projects, particularly notable for Park Hotels. Combined with the World Cup, the earnings setup for Lodging REITs skews positively. It feels Marriott stands out in the group, and on the REIT, Ry
