Questions On Labor, Business Travel Linger Heading Into Hotel Earnings Reports

Long-Term Recovery Trajectory Remains Stable

As the U.S. hotel industry nears its second-quarter earnings call season, hotel experts and analysts expect the publicly traded hotel brand companies and real estate investment trusts will focus on the two biggest issues facing the industry: labor and the return of business travel.

Investors are focused on a lot of things, like headline risks and the Delta variant, but those are still near-term risks, said Michael Bellisario, senior hotel research analyst and director at Baird. Those issues don’t really change the recovery trajectory looking into 2022, 2023 and 2024.

The short-term risks may cause a slower recovery, particularly for business travel’s return, but overall the recovery trajectory is generally still the same, he said.

Read the full article at HotelNewsNow (part of CoStar)

For more information about HotelNewsNow, visit www.costar.com