The hotel industry has experienced growth in 2023, benefiting from the rebound in both leisure and business travel, as well as the easing of pandemic restrictions in certain countries. Interestingly, Investment firm CBRE has raised its forecast for the industry’s revenue per available room (RevPAR) for 2023 to $97.89, reflecting a 6% year-over-year increase.
This upward revision is supported by the improving occupancy levels witnessed earlier in the year. Additionally, the growth of hotel stocks is expected to be fueled by the rising demand for international and group travel.
We have leveraged the TipRanks Stock Screener tool to help select the top hotel stocks for your portfolio. Using this tool, we shortlisted stocks that have a Strong Buy rating from analysts and ample upside potential.
According to the screener, the following stocks have the potential to grow and are analysts’ favorites.
- Marriott Vacations (NYSE:VAC) – Analysts currently see upside potential of 45.3% in the stock.
- MGM Resorts (NYSE:MGM) – The stock’s price forecast of $58.17 implies nearly 18.7% upside potential.
- Wyndham Hotels & Resorts (NYSE:WH) – WH stock has impressive upside potential of 15.8%.
- Las Vegas Sands (NYSE:LVS) – LVS stock’s average price target implies upside potential of 17.9%. Two analysts reiterated a Buy rating on the stock yesterday.
- RLJ Lodging (NYSE:RLJ) – The stock has an average price target of $13.25, which implies 28.3% upside potential from current levels.
