Palladium Hotel Group

Today was good timing for those who released the avalanche of earnings because investors were in a good mood.

Richie Karaburun, clinical associate professor at NYU, is worried. But the hospitality industry continues growth with new hotels, acquisitions, and expansions across the US and Europe despite tariff concerns.

Sandals Resorts International has hired bankers to solicit a sale at a valuation over $6 billion, according to a news report.

Morgan Stanley lowered Hyatt's price target while raising those for Marriott, Hilton, and Wyndham, keeping their respective ratings unchanged.

Barry Sternlicht is set to revive the Starwood brand through his current hotel management company, SH Hotels & Resorts, rebranding it as Starwood from February.

Ashford Hospitality Trust introduced the “GRO AHT” initiative to cut overhead, boost revenue, and enhance operational efficiency, thereby driving EBITDA growth and improving shareholder value.

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.

Service Properties Trust is reducing its dividend, selling 114 hotels to repay debt and save on capital expenditures, and will continue owning 34% of Sonesta while selling other properties.

DJIA gained 213 points, Nasdaq increased by 114 points, and S&P 500 rose 28 points; 10-year treasury yield decreased by 0.03 to 4.21%. Lodging stocks surged on Hersha Hospitality buyout news, particularly REITs: HT up 56%, BHR up 16%, AHT up 10%, others up 6% each, while AINC traded down -9%. Hersha Hospitality Trust and KSL Capital Partners will merge in an all-cash deal worth $1.4 billion, where common shareholders receive $10.00 per share and preferred shareholders receive varying amounts based on their holdings. The merger aims to close in Q4 2023, leading to a rally in hotel REIT stocks. Major US and Chinese hotel groups have strengthened post-pandemic, while Europe lags behind. Marriott, Jin Jiang, and Hilton lead the world hotel ranking, with only one European representative (Accor). US has six companies in top 10, China has three, and Spanish companies see shifts in their rankings.

Market summary: DJIA, Nasdaq, and S&P 500 experienced declines, while the 10-year treasury yield decreased slightly. Playa Hotels & Resorts downgraded by Bank of America Securities, with a lowered price target. In Europe and the Caribbean, look to the upcoming opening of One&Only Aesthesis resort in Greece , renovations at Club Med Buccaneer's Creek in Martinique , Eurostars Hotel's operation of a luxury hotel in Rotterdam