Driftwood Capital

The U.S. stock market rose again today and most lodging stocks came along for the ride upward.

IHG Hotels & Resorts is significantly expanding its luxury and lifestyle portfolio in Mexico, Latin America, and the Caribbean, with multiple new openings planned through 2027, including properties from its Six Senses, InterContinental, Kimpton, Vignette Collection, and Hotel Indigo brands.

Archipelago International opened its first office in the Dominican Republic and signed multiple hotel management agreements in the DR and Mexico, adding numerous new properties.

Disney's Island Tower at Polynesian Villas & Bungalows, opening December 2024, says it will be an eco-friendly addition to Walt Disney World.

Marriott Vacations exceeded first quarter 2024 expectations, with steady EBITDA performance and a large share buyback, despite underwhelming results in its core Vacation Ownership segment.

Thanks to the shift in Easter in 2024 from March to April, RevPAR was down as a whole – but not in the top 25 markets in the U.S.

Barclays previewed the first quarter for the lodging sector, suggesting mixed RevPAR results due to the March Easter shift, but maintaining expectations for in-line EBITDA among large caps, while adjusting target prices for major hotel brands including Marriott, Hilton, Hyatt, Wyndham, and Choice Hotels.

Las Vegas saw a significant tourism and economic boost in 2023, highlighted by a surge in convention attendance, international visitors, and major events like the Las Vegas Grand Prix and the Super Bowl.

The market liked this conclusion: both companies' stock prices rose, with Choice Hotels up 6% and Wyndham Hotels 2%, indicating investor relief – or strategic reassessment.

In 2024, the company’s expansion plans include an initial goal of opening more than twenty hotels and continuing to sign as many new projects.