Host Hotels & Resorts (HST)

HST is a self-managed and self-administered REIT that engages in the management of luxury and upper-upscale hotels. The group has 80 hotels with 44,400 rooms located across the U.S., Brazil, Canada, and Mexico.

Yesterday, HST stock rose 5.1% on the news that Stifel Nicolaus analyst Simon Yarmak lifted the price target on the stock to $21.50 (5.2% upside potential) from $21 while maintaining a Buy rating. Year to date, the stock is up 15.9%, and has gained 20.8% over the past year.

Host ended 2021 on a bullish note, with fourth-quarter revenue and earnings per share both beating expectations. Notably, HST recorded triple-digit growth across all of its important metrics. Q4 reported the highest RevPAR (revenue per available room) in 2021 of $148.46, growing 249% year-over-year. For the full-year fiscal 2021, RevPAR rose 87.6% to $113.40, but came in 43.2% lower than the FY19 figure.

Moreover, HST even reinstated its quarterly cash common dividend of $0.03 per share based on management’s optimism about the trajectory of lodging recovery. Host is scheduled to report its Q1FY22 results on May 5, 2022.

Recently, HST was ranked No. 2 (out of 93 largest REITs by market value) on Barron’s annual list of the 10 Most Sustainable REITs. Each company was analyzed based on five parameters, namely shareholders, employees, customers, community, and the planet. Moreover, HST was the only lodging REIT to make it to the list.

The Wall Street community has a Moderate Buy consensus rating on the HST stock based on eight Buys, three Holds, and one Sell. The average Host Hotels & Resorts price forecast of $21.13 implies 3.4% upside potential to current levels.