|Bid||61.38 x 800|
|Ask||61.36 x 800|
|Day's range||61.23 - 61.51|
|52-week range||53.71 - 71.02|
|Beta (3Y monthly)||0.86|
|PE ratio (TTM)||26.61|
|Forward dividend & yield||1.18 (1.92%)|
|1y target est||66.50|
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. From protests in Hong Kong to uncertainty around trade, the damage from political turmoil involving China is already baked in for some large U.S. hoteliers. And even with the initial phase of a China deal in sight, the cost may not be easy to make up for.Expedia Group, an online travel service, is the latest leisure company that cited Hong Kong as one reason for their disappointing results. Last week, Marriott International said that revenue-per-available-room, or revpar, a key hotel business metric, declined 27% in Hong Kong in the third quarter. And that came shortly after Hyatt Hotels and Hilton Worldwide each reported a bigger decline in the same measure.“Revpar is seeing a sharp slowdown from earlier this year,” said Bloomberg Intelligence analyst Brian Egger. This slump, he said, can be attributed to a combination of things, including a slowing economy in China, protests in Hong Kong, and the U.S.-China trade war.Other companies face similar headwinds. InterContinental Hotels Group said unrest in Hong Kong, along with “tougher trading conditions in the U.S. and China” hurt businesses last quarter, leading to a 0.8% decline in revpar. Uncertainty around the trade war had an impact on corporate business demand in mainland China, Mark Debenham, a spokesman at InterContinental, said in an email.And it’s not just U.S. hotels that are suffering. AccorHotels, based in France, last month tightened its 2019 forecast range, citing “uncertainties looming over Asia-Pacific.”While hotels’ Asia businesses are taking a setback, the outlook in the U.S. doesn’t look promising either. According to the U.S. Travel Association, the volume of people visiting the country will decline about 0.6% over the next six months from a year ago.With headwinds from “the macro environment possibly increasing” in the fourth quarter, Expedia shares may not recover soon after a 28% plunge Thursday, Bank of America analysts warned. Another major online travel agency, Booking Holdings, will report third-quarter results after the market closes and its shares fell as much as 8.3% ahead of the report.Political developments may set the tone for the companies, according to BI’s Egger. The comparisons could get easier for hotel operators if there’s a trade agreement and the crisis in Hong Kong finds resolution, he said. “Generally speaking, more harmonious geopolitical conditions will lend itself to more favorable travel conditions.“To contact the reporter on this story: Anisha Sircar in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Brad Olesen at email@example.com, Lu Wang, Tatiana DarieFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be...
InterContinental Hotels Group PLC (IHG) could be a stock to avoid from a technical perspective, as the firm is seeing unfavorable trends on the moving average crossover front.
Marriott Vacations' (VAC) strong revenue-building capacities, digital innovations and synergies from the ILG acquisition are encouraging.
Marriott Vacations' (VAC) contract sales in the third quarter are likely to be impacted by nearly $6-$8 million due to Hurricane Dorian.
Today we'll evaluate InterContinental Hotels Group PLC (LON:IHG) to determine whether it could have potential as an...
(Bloomberg Opinion) -- Britain’s Prince Harry is urging tourists to be more eco-friendly – while at the same time flitting across Europe by private jet. It’s hardly the only contradiction in the travel industry’s drive to become more sustainable.The world’s largest hotel chains house as many people each day as a decent-sized city, making them a big source of pollution and waste. Directly, hotels account for about 1% of global carbon-dioxide emissions – although that estimate doesn’t include the hydrocarbon-burning flights and car journeys guests make as they come and go. All-in, tourism’s contribution to man-made emissions could be as much as 8% of the total.As with overcrowding at the world’s most popular tourist attractions, this massive environmental footprint is giving the hotel industry a bad name. Along with energy, food and water, hotels are gargantuan consumers of plastics.Hoteliers’ efforts to kick this particular dirty habit have been capturing headlines lately: Marriott International Inc. and InterContinental Hotels Group Plc have both promised to eliminate plastic shampoo and shower gel miniatures, which should prevent several hundred million small bottles being dumped in landfill annually. (They are, however, trusting you not to steal their new, bulk-sized refillable containers.)Drinking straws, cocktail picks, door key cards, slipper-cellophane, disposable cutlery and water bottles are all in the cross-hairs of the hotel industry’s growing anti-plastics drive. At the margins, these interventions should also help to cut the huge amount of plastic waste that ends up in the oceans and these policies should be relatively simple to implement – unlike the plastics challenge facing supermarkets, for example. But these eye-catching ecological measures have, rightly, prompted accusations of tokenism.If I take three connecting flights to reach my villa in the Maldives, crank up the air conditioning on arrival and then eat filet mignon for dinner, forgoing a plastic stirrer in my margarita and my haul of free plastic miniatures isn’t going to matter a hoot, is it?This isn’t a laughing matter: The tourism industry will be the first to suffer if we don’t change. Coral reefs are being bleached and beaches ruined by plastic detritus and foul-smelling, fertilizer-fueled seaweed blooms. This week, parts of the Bahamas have been devastated by a hurricane whose destructive power was likely magnified by warmer oceans.In fairness, most big hotel groups are making pretty comprehensive efforts to consume fewer resources and cut carbon pollution. Marriott’s promise to cut the amount of waste going to landfill by 45% by 2025 isn’t to be sneezed at when you consider it has 1.3 million rooms worldwide.Resource efficiency is also plain good business sense: the signs asking you to kindly reuse your towels help to cut the hotel’s utility bill as well as its electricity consumption.Hotels know they cannot afford to look lax on these issues. Customers – particularly corporate ones – are considering sustainability issues when purchasing trips and online booking platforms are making it easier to tell environmental saints from sinners. Competitors like home-sharing site Airbnb have been talking up the environmental benefits of staying in someone’s home instead of a large hotel, putting the industry even more on the defensive.Many large hotel chains already provide an impressive level of disclosure about their environmental impact and some use market-based incentives to help ensure sustainability promises are kept.When AccorHotels signed a new 1.2 billion-euro ($1.3 billion) credit facility with a consortium of banks, it linked the interest rate to its compliance with sustainability goals. Marriott offers guests extra loyalty points if they forgo having their rooms cleaned, not that its housekeepers are happy about this. Unfortunately, though, the industry’s rapid growth risks overwhelming the benefit derived from these hard-won efficiency gains.Hilton has achieved an impressive one-third cut in carbon emissions per square meter since 2008 and it plans to extend that to a 61% reduction by 2030. But its absolute emissions have jumped by one fifth over the past decade because the company added thousands of hotels to its portfolio – it opened one a day last year.So what can be done? Plastic bans make for good headlines, but hotels should focus on reducing their most environmentally damaging activities.Heating, ventilation and air conditioning account for up to 45% of hotel energy consumption, according to AccorHotels, so installing the most efficient technology and switching to carbon-free energy sources would seem a sensible priority.That’s easier said than done. The Sheraton Stockholm Hotel boasts that its power is supplied entirely by clean hydroelectricity, but its counterparts in nearby Poland, where coal accounts for 80 percent of power production, have fewer options. Hence, the industry is increasingly choosing to produce its own renewable energy on-site.Of course, the easiest way for the business to clean up is act is also the most unpalatable: open fewer hotels, especially in far-flung destinations only accessible by plane.Getting the balance right is difficult. Hotels provide lots of jobs in poor countries. Still, from an environmental standpoint, video conferencing and staycations are better than hopping on a jet. Similarly, a tent is superior to an air-conditioned luxury hotel room, as Richard Clarke at Bernstein Research points out. But wait for hotels to cap their growth or consumers to voluntarily forgo the comfort of a hotel bed and you’ll be waiting a long time. Higher taxes that penalize the negative consequences of travel may become unavoidable. For now, “sustainable travel” is too often a contradiction in terms. To contact the authors of this story: Chris Bryant at firstname.lastname@example.orgAndrea Felsted at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
InterContinental Hotels Group PLC (LON:IHG) is about to trade ex-dividend in the next 3 days. Investors can purchase...
Based on InterContinental Hotels Group PLC's (LON:IHG) earnings update in December 2018, analyst consensus outlook...
Let's talk about the popular InterContinental Hotels Group PLC (LON:IHG). The company's shares saw a double-digit...
Marriott CEO Arne Sorenson talks with Yahoo Finance about new 'drip pricing' allegations and the state of the iconic hotel brand.
Today, we'll introduce the concept of the P/E ratio for those who are learning about investing. To keep it practical...
Is InterContinental Hotels Group PLC (LON:IHG) a good dividend stock? How would you know? Dividend paying companies...
One simple way to benefit from the stock market is to buy an index fund. But if you choose individual stocks with...