U.S. Markets open in 2 hrs 46 mins
  • S&P Futures

    4,413.50
    +24.00 (+0.55%)
     
  • Dow Futures

    34,987.00
    +155.00 (+0.44%)
     
  • Nasdaq Futures

    15,031.75
    +76.00 (+0.51%)
     
  • Russell 2000 Futures

    2,243.90
    +22.30 (+1.00%)
     
  • Crude Oil

    72.75
    -1.20 (-1.62%)
     
  • Gold

    1,811.10
    -6.10 (-0.34%)
     
  • Silver

    25.52
    -0.03 (-0.11%)
     
  • EUR/USD

    1.1895
    +0.0020 (+0.1665%)
     
  • 10-Yr Bond

    1.2390
    0.0000 (0.00%)
     
  • Vix

    18.16
    +0.46 (+2.60%)
     
  • GBP/USD

    1.3907
    +0.0001 (+0.0042%)
     
  • USD/JPY

    109.5480
    -0.0670 (-0.0611%)
     
  • BTC-USD

    39,696.14
    -2,033.80 (-4.87%)
     
  • CMC Crypto 200

    966.82
    +16.91 (+1.78%)
     
  • FTSE 100

    7,099.65
    +67.35 (+0.96%)
     
  • Nikkei 225

    27,781.02
    +497.43 (+1.82%)
     

Hyatt (H) Strengthens Presence in California With New Hotels

·4 min read

Hyatt Hotels Corporation H recently announced the opening of Mission Pacific Hotel (a JdV by Hyatt hotel) in California. Moreover, the company stated that the opening of The Seabird Resort (a Destination by Hyatt hotel) has been scheduled on May 25.

Nonetheless, the hotels showcase adjacent boutique-style properties underscoring Oceanside Beach’s appeal as a sought-after Southern California travel destination.

Located on 700 feet of beachfront property in Oceanside Beach, CA (in North County San Diego), Mission Pacific Hotel comprises 161 high-touch guest rooms featuring vibrant beachfront sanctuary. It also comes with amenities such as fitness center, outdoor dining, library and rooftop pool and bar. Meanwhile, The Seabird Resort comes with a 226-room with amenities such as poolside cabana, spa and beauty lounge, library as well as ocean-view meeting and celebration spaces (of approximately 20,000 square feet).

With respect to the launch, Michael Stephens, area managing director of Mission Pacific Hotel and The Seabird Resort, stated, “We are thrilled to welcome locals and travelers alike to Oceanside Beach. This has been a passion project for our team and every touchpoint of the guest experience at each of the properties and all the restaurants has been considered.”

Focus On Expansion

Hyatt aims to differentiate its brands from one another by providing distinct travel experiences. It is also consistently trying to expand presence worldwide and plans to expand in Asia-Pacific, Europe, Africa, Middle East and Latin America. Expansion in these markets will likely help the company gain market share in the hospitality industry and boost business.

Meanwhile, the company’s new signings across its brands globally have consistently outpaced openings. In 2018, 2019 and 2020, Hyatt registered net room growth of 13.6%, 7.4% and 5.2% on a year-over-year basis, respectively. Despite the coronavirus pandemic, the company anticipates net unit growth of 5% in 2021. The company is optimistic about the continued growth in demand for the upcoming quarters of 2021.

Price Performance

Shares of Hyatt have gained 2.7% so far this year compared with the industry’s 8.3% growth. The dismal performance is mainly attributable to the coronavirus pandemic. This along with travel restrictions and other containment efforts have negatively impacted the company. Although the company is witnessing sequential improvement in RevPAR, it is still below pre-pandemic levels.

The company announced that the first half of 2021 will remain challenging but it expects meaningful recovery in the second half of 2021. Demand is likely to increase in the second half owing to improved travel sentiments and widening vaccine availability. Focus on unit expansion and loyalty program are likely to benefit the company, going forward. Meanwhile, earnings estimates for 2022 have moved up in the past 30 days, depicting analysts’ optimism regarding the stock’s growth potential.

Hyatt — which shares space with Hilton Worldwide Holdings Inc. HLT, Choice Hotels International, Inc. CHH and Marriott Vacations Worldwide Corporation VAC in the Zacks Hotels and Motels industry — has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Breakout Biotech Stocks with Triple-Digit Profit Potential

The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.

Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.

See these 7 breakthrough stocks now>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Choice Hotels International, Inc. (CHH) : Free Stock Analysis Report

Hyatt Hotels Corporation (H) : Free Stock Analysis Report

Marriot Vacations Worldwide Corporation (VAC) : Free Stock Analysis Report

Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research