Hyatt Hotels (H) Stock Forecast & Price Target

Hyatt Hotels operates a diverse portfolio with 97% of its properties managed or franchised under approximately 30 upscale luxury brands, contributing to a broad reach across the Americas (63% of total rooms), Asia-Pacific (22%), and the rest of the world (15%). Management has expressed cautious optimism regarding an expected increase in activity in the second half of the year, supported by a backdrop of improving macroeconomic conditions. Additionally, the stock benefits from strong earnings momentum, which is highlighted by recent earnings upgrades and favorable sentiment from sell-side analysts, positioning it favorably in the market despite some challenges with profitability metrics.

Hyatt Hotels has lowered its 2025 EBITDA guidance by 1% at the midpoint, now projecting $3,650-3,710 million, which reflects diminished expectations for revenue per available room (RevPAR) growth, forecasted between 0-2% year-over-year, compared to the previously anticipated range of 2-3%. The company's reliance on the Americas for 63% of its total rooms, alongside stagnant performance in key regions such as Asia-Pacific and the U.S. lagging behind other areas, raises concerns about its overall growth potential. Additionally, factors such as a slowdown in leisure travel may contribute to possible underperformance in the near term, further impacting Hyatt's financial outlook.