Choice Hotels upgraded to Buy from Sell at Goldman Sachs

Goldman Sachs analyst Lizzie Dove double upgraded Choice Hotels (CHH) to Buy from Sell with a price target of $138, down from $141. With an increasingly uncertain demand backdrop, Choice Hotels is one of the most defensive names in the sector given its largely franchise revenue structure and “solid” balance sheet, the analyst tells investors in a research note. The firm says that despite these factors, the shares are down 20% since February 6, essentially in-line with the industry average. Goldman says its Sell rating did not work as Choice generated higher EBITDA growth.