U.S. Hotel Pipeline Report for Q2 2024
The DJIA rose 99 points while Nasdaq surged 452, the S&P 500 rose 86 points and the 10-year treasury yield was down .03 to 4.11%. Lodging stocks were modestly higher, did much better due to the overall market considering the initial reaction to Marriott’s earnings. MAR ended the day down -5% while BHR fell -6% and AHT was up 8%.
Marriott International received a somewhat rude response from Wall Street on their 2Q earnings report. The results were mostly in line. RevPAR was strong, but they lowered the high end of guidance, citing a weaker China and softness in the U.S. and Canada. As for whether it justified the big drop in the stock, remember that Marriott, Hilton, and Hyatt stock prices have had a great past year, so profit-taking on the slightest sign of weakness is not uncommon. Outside of the guide, everything else was positive, with the development pipeline up 2.2% or 12,000 rooms, with 37
