Pebblebrook Hotel price target raised to $10 from $8 at Morgan Stanley

Morgan Stanley analyst Stephen Grambling raised the firm’s price target on Pebblebrook Hotel (PEB) to $10 from $8 and keeps an Underweight rating on the shares. Despite still sluggish RevPAR trends, lodging companies outperformed the S&P 500 over the past 90 days, with timeshare the best performing sub-sector, the analyst tells investors in a research note. Stocks appear to be sending mixed signals, with premium valuations potentially calling for re-accelerating trends, yet higher operating leverage REITs still lagging, the firm says.