The Baird/STR Hotel Stock Index increased by 1.4% in April to a level of 5,430, according to a statement published on the website of hotel industry market data company STR.
Statement By Senior Hotel Research Analyst And Director At Baird
The statement published on STR.com quoted senior hotel research analyst and director at Baird Michael Bellisario as saying, "Hotel stocks increased in April, and the gains were driven by outperformance from the global hotel brands. RevPAR trends have remained solid in the face of growing macroeconomic uncertainties and continued banking turmoil, and first-quarter earnings generally have surprised to the upside with positive full-year estimate revisions occurring. The Hotel REITs declined more than 2% in April and underperformed the RMZ, while the global hotel brands gained just over 2.5% and outperformed the S&P 500’s return by ~100 bps."
Statement By STR President
The statement published on STR.com also quoted STR president Amanda Hite as saying, "The industry continues to revert to normal patterns and calendar shifts with growth slowing as forecasted. Monthly demand fell year over year for the first time since the recovery began in April 2021, but that decrease can be attributed to an extra Sunday on the calendar this year versus last. Without the extra Sunday, which is historically a low-performance night, demand would have been slightly up from last year. ADR, on the other hand, grew 3.4%, while RevPAR was up 1.8% - the lowest increase of the recovery thus far. Despite slowing growth, we expect the industry to see further gains throughout the summer and fall."
Additional Information
The Baird/STR Hotel Stock Index fell behind both the S&P 500 (+1.5%) but came in above the MSCI US REIT Index (+0.7%) in April, according to the statement published on STR.com, which also noted that the Hotel Brand sub-index increased by 2.5% from March to 10,178, while the Hotel REIT sub-index decreased by 2.6% to 1,045.
Read More: Baird/STR Hotel Stock Index Decreased In March, Notes STR
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