Host Hotels & Resorts (HST) AI Stock Analysis

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Host Hotels & Resorts

(NASDAQ:HST)

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Outperform 72 (OpenAI - 5.2)

Rating:72Outperform

Price Target:

$22.00

▲(12.30% Upside)

Action:ReiteratedDate:02/26/26

Overall score reflects solid fundamentals (strong profitability and cash flow, tempered by cyclical risk and higher leverage), supportive technical trend (price above key moving averages with positive MACD), and a reasonable valuation supported by a ~4.8% dividend yield. Earnings-call guidance and sentiment add a modest positive tilt, though wage inflation and disposition-related EBITDA headwinds cap upside.

Positive Factors

Strong cash generation

Host generates durable, high-quality cash flow: operating cash flow and free cash flow both ~ $1.5B in 2025, with FCF matching net income. This capacity supports ongoing capex, dividends, buybacks and strategic reinvestment, providing financial flexibility across the lodging cycle.

Portfolio outperformance

The company’s upper-upscale luxury portfolio consistently outpaced industry RevPAR by ~200bps, reflecting pricing power, strong brand/operator partnerships and resilient resort demand (e.g., Maui recovery). Such structural outperformance supports sustained margin and cash generation.

Disciplined capital allocation

Host has demonstrable discipline monetizing assets at attractive multiples and returning capital (dividends, buybacks). High-multiple dispositions and targeted reinvestment enable portfolio optimization and shareholder returns without relying solely on leverage or risky acquisitions.

Negative Factors

Rising leverage

Leverage has increased materially to ~0.95 debt/equity, reducing balance-sheet flexibility. In a downturn, higher gearing limits the company’s ability to invest, pursue acquisitions or withstand weaker RevPAR, increasing refinancing and covenant risk over the medium term.

Cyclicality & group softness

Host’s earnings and cash flow remain exposed to lodging cyclicality and uneven group demand in key urban markets. Prolonged softness in citywide group bookings or renewed travel weakness could compress occupancy, lower ancillary revenue and pressure margins for multiple quarters.

Disposition-related EBITDA headwinds

Asset sales that crystallize gains also reduce ongoing EBITDA base; management expects an $87M EBITDA decline from dispositions. This structural shrinkage can mute reported growth and makes future organic EBITDA expansion and margin improvement more critical to sustain FFO.

Host Hotels & Resorts (HST) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$13.47B

Dividend Yield4.9%

Average Volume (3M)8.60M

Price to Earnings (P/E)17.8

Beta (1Y)0.88

Revenue Growth6.45%

EPS Growth3.79%

CountryUS

Employees165

SectorReal Estate

Sector Strength53

IndustryREIT - Hotel & Motel

Share Statistics

EPS (TTM)0.20

Shares Outstanding687,802,200

10 Day Avg. Volume9,307,281

30 Day Avg. Volume8,603,040

Financial Highlights & Ratios

PEG Ratio1.44

Price to Book (P/B)1.87

Price to Sales (P/S)2.01

P/FCF Ratio8.13

Enterprise Value/Market Cap1.40

Enterprise Value/Revenue3.09

Enterprise Value/Gross Profit7.78

Enterprise Value/Ebitda10.23

Forecast

1Y Price Target

$21.18

Price Target Upside8.12% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering12

EPS Forecast (FY)0.89

Revenue Forecast (FY)$6.10B

Host Hotels & Resorts Business Overview & Revenue Model

Company DescriptionHost Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 74 properties in the United States and five properties internationally totaling approximately 46,100 rooms. The Company also holds non-controlling interests in six domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott®, Ritz-Carlton®, Westin®, Sheraton®, W®, St. Regis®, The Luxury Collection®, Hyatt®, Fairmont®, Hilton®, Swissôtel®, ibis® and Novotel®, as well as independent brands. For additional information, please visit the Company's website at www.hosthotels.com.

How the Company Makes MoneyHost Hotels & Resorts generates revenue primarily through the leasing of its hotel properties to various hotel operators under long-term management agreements. The company earns rental income based on fixed fees and a percentage of the hotel revenues, which are tied to the performance of the properties. Additionally, Host Hotels & Resorts may receive income from ancillary services, such as food and beverage sales, parking, and other hotel-related amenities. Key revenue streams are further supported by their strategic partnerships with major hotel brands, which help attract a steady flow of guests and enhance occupancy rates. Market dynamics, tourism trends, and economic conditions also play a crucial role in influencing the company's earnings.

Host Hotels & Resorts Key Performance Indicators (KPIs)

Any

Revenue by Segment

Revenue by Segment
Breaks down revenue by different business segments, highlighting which areas are driving growth and which may need strategic adjustments.

Chart InsightsRooms and Food & Beverage have rebounded past pre‑COVID levels and are now the primary drivers of growth, fueled by stronger transient demand, higher rates in key markets (Maui, NYC, Miami) and renovation-driven RevPAR gains; 'Other' revenue is steadily rising too, diversifying the mix. That momentum underpins management’s raised RevPAR and EBITDAre guidance, but falling group revenue, renovation disruptions and rising labor costs have compressed near‑term margins and create seasonally lumpy results despite ongoing upside in room revenue.

Data provided by:

The Fly

Host Hotels & Resorts Earnings Call Summary

Earnings Call Date:Feb 18, 2026

(Q4-2025)

% Change Since: |

Next Earnings Date:May 06, 2026

Earnings Call Sentiment Positive

The call emphasized multiple operational and financial wins: mid-single-digit RevPAR growth, EBITDA and FFO improvements, strong resort performance (notably Maui), successful high-multiple asset dispositions, substantial shareholder returns and a solid balance sheet. Offsetting items included margin pressure from prior-year one-offs, near-term EBITDA headwinds from recent dispositions and higher wage inflation, plus uneven group pacing in certain citywide markets. On balance, the positive operational momentum, strong capital allocation results and healthy liquidity materially outweigh the challenges.

Q4-2025 Updates

Positive Updates

Full-Year Financial Performance

Adjusted EBITDAre of $1,757 million, up 4.6% vs. 2024; adjusted FFO per share of $2.07, up 3.5% YoY.

RevPAR and Operational Gains

Full-year comparable hotel total RevPAR grew 4.2% and comparable hotel RevPAR grew 3.8% vs. 2024; Q4 comparable total RevPAR +5.4% and comp RevPAR +4.6%, driven by rate growth, leisure transient demand and higher out-of-room spending.

Portfolio Outperformance

Portfolio outperformed the upper-tier industry RevPAR growth by ~200 basis points for the year.

Strong Resort & Maui Recovery

Maui was a standout: Maui RevPAR +15% and TRevPAR +13% in the quarter; Maui contributed $111 million of EBITDA in 2025 and management expects ~ $120 million of EBITDA in 2026.

Ancillary Revenue Momentum

Q4 comparable F&B revenue +6%, outlet revenue +9%, other revenue +10% (including golf +14% and spa +6%); banquet/catering revenue +4% with banquet contribution per group room night +6%.

Capital Allocation & Asset Monetization

Sold Four Seasons Orlando and Jackson Hole for $1.1 billion at a 14.9x EBITDA multiple (11% unlevered IRR); recognized $237 million from Westin Cincinnati and Washington Marriott sale; since 2018 disposed ~$6.4 billion at a blended 16.7x EBITDA multiple vs $4.9 billion acquisitions at 13.6x.

Shareholder Returns

Returned nearly $860 million of capital in 2025 including repurchases of 13.1 million shares for $205 million (avg $15.68) and dividends: quarterly $0.20 + special $0.15; total declared dividends for 2025 $0.95 per share.

Balance Sheet & Liquidity Strength

Weighted average debt maturity 5.1 years, average interest rate 4.8%, no debt maturities in 2026; leverage ratio 2.6x; $2.4 billion total available liquidity including $1.5 billion credit facility availability.

Portfolio Reinvestment & ROI

Invested ~$644 million in 2025 on CapEx, resiliency and restoration; Hyatt Transformational Capital Program >75% complete and tracking on time/under budget; transformational renovations to date show an average RevPAR index share gain of 8.7 points (target was 3–5 points).

2026 Guidance

Full-year 2026 guidance: comparable hotel total RevPAR growth 2.5%–4%, comp RevPAR 2%–3.5%; adjusted EBITDAre midpoint $1,770 million (approx +1% YoY) and comp hotel EBITDA margin midpoint ~29.2% (flat to 2025).

Negative Updates

EBITDA Margin Pressure from One-Time Items

Full-year comparable hotel EBITDA margin 28.9% was down 40 basis points YoY, primarily driven by $21 million of business interruption proceeds received in 2024 for the Maui wildfires (a 2024 one-time benefit); Q4 margin down 30 basis points to 28%.

Disposition-Related EBITDA Headwind for 2026

2026 adjusted EBITDAre midpoint reflects a $87 million decline from dispositions, plus a $17 million net decline in business interruption proceeds and a $7 million net decline in renovation program guarantees, muting reported year-over-year growth.

Group Room Night Softness in Certain Markets

Group room nights declined in some markets due to renovations and citywide softness; while group revenue grew ~1% (rate offsetting room night declines), certain markets (San Diego, Chicago, Boston, Seattle) remain behind in group pacing.

Rising Labor Costs

Wage rates expected to increase ~5% in 2026 (wages and benefits ~50% of operating expenses), creating operating cost pressure despite productivity initiatives.

Acquisition Market Uncertainty

Management notes acquisition market 'better than last year but still not robust'; potential $500 million taxable gain may be returned as a special dividend if accretive acquisitions aren't found within the 45-day like-kind exchange window.

Near-Term Seasonal & Comparison Headwinds

Q1 2026 expected to be the weakest quarter due to tough comps (2024 presidential inauguration and LA wildfires comparisons); January 2026 comp RevPAR down 40 bps vs a year ago despite exceeding internal expectations.

Company Guidance

Host's 2026 guidance calls for comparable hotel total RevPAR growth of 2.5%–4.0% and comparable hotel RevPAR growth of 2.0%–3.5% (midpoint 2.75%), with Q1 the weakest (low‑single digits), Q2 the strongest (mid‑single digits, World Cup/earlier Easter) and H2 between Q1 and Q2 (January down only 40 bps); management estimates a ~40 bps net benefit from special events (60 bps World Cup, -20 bps from last year's inauguration) and ~35 bps from Maui. At the midpoint they expect a comparable hotel EBITDA margin of 29.2% (flat YoY; range -20 bps to +20 bps) and adjusted EBITDAre of $1,770 million (up ~1% YoY despite an $87M EBITDA decline from dispositions, a $17M net decline in business‑interruption proceeds and a $7M decline in renovation guarantees); the EBITDA guide includes ~ $28M from The Don CeSar, ~$7M of BI proceeds already received, and $20–25M of Four Seasons condo EBITDA, while Maui is expected to contribute about $120M of EBITDA in 2026. Capital guidance is $525M–$625M (including $250M–$300M for redevelopment/repositioning/ROI projects and ~$15M to finish Four Seasons condos); expected operating‑profit guarantees total ~ $19M in 2026 (≈$7M Hyatt, ≈$12M Marriott), wages are forecast to rise ~5% (wages & benefits ≈50% of comp hotel opex), and modeled revenue and expense growth are each ~3.3%.

Host Hotels & Resorts Financial Statement Overview

Summary

Strong post-2020 recovery with solid profitability (2025 EBITDA margin ~30%, EBIT margin ~17%) and stable net margins (~12–14% in 2022–2025). Cash generation is robust (operating cash flow ~$1.5B in 2024–2025; 2025 free cash flow ~$1.5B), but cyclicality remains a key risk and rising leverage into 2025 (debt-to-equity ~0.95) reduces flexibility; some 2025 margin/coverage metric inconsistencies also temper confidence.

Income Statement

Positive

Revenue has steadily recovered and expanded from $1.6B (2020) to $6.1B (2025), with solid operating profitability in the most recent years (2025 EBITDA margin ~30% and EBIT margin ~17%). Net profitability is healthy and stable post-recovery (net margin ~12–14% during 2022–2025). The main weakness is volatility across the cycle—2020–2021 showed significant losses—and 2025 shows an unusually low gross profit margin versus prior years, which raises questions about cost structure consistency even though operating margins remained strong.

Balance Sheet

Positive

The balance sheet is moderately leveraged for a hotel REIT. Total debt is $6.2B (2025) against $6.6B of equity, with debt-to-equity rising to ~0.95 in 2025 from ~0.71–0.85 in 2022–2024, indicating increasing leverage. Returns on equity are solid in the profitable years (~9–12% from 2022–2025), supporting the capital structure. The key risk is reduced flexibility if the lodging cycle weakens, given leverage has moved higher again.

Cash Flow

Positive

Cash generation is strong and improving: operating cash flow is ~$1.5B in 2024–2025, and free cash flow increased to $1.5B in 2025 from $0.95B in 2024. Cash flow quality looks good recently, with free cash flow matching net income in 2025 (and covering a meaningful portion in 2024). Weaknesses include historical cyclicality (negative operating and free cash flow in 2020 and negative free cash flow in 2021) and some inconsistency in coverage metrics (including an apparent 2025 coverage value that does not align with the otherwise strong cash figures).

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.11B	5.68B	5.31B	4.91B	2.89B
Gross Profit	160.00M	3.03B	2.85B	2.71B	1.49B
EBITDA	1.85B	1.70B	1.67B	1.49B	851.00M
Net Income	765.00M	697.00M	740.00M	633.00M	-11.00M
Balance Sheet
Total Assets	13.05B	13.05B	12.24B	12.27B	12.35B
Cash, Cash Equivalents and Short-Term Investments	768.00M	554.00M	1.14B	667.00M	807.00M
Total Debt	6.20B	5.64B	4.77B	4.78B	5.46B
Total Liabilities	6.32B	6.27B	5.42B	5.39B	5.78B
Stockholders Equity	6.56B	6.61B	6.63B	6.71B	6.44B
Cash Flow
Free Cash Flow	1.51B	950.00M	795.00M	912.00M	-135.00M
Operating Cash Flow	1.51B	1.50B	1.44B	1.42B	292.00M
Investing Cash Flow	-507.00M	-2.04B	-183.00M	-618.00M	-1.16B
Financing Cash Flow	-868.00M	-13.00M	-771.00M	-874.00M	-657.00M

Host Hotels & Resorts Technical Analysis

Technical Analysis Sentiment

Positive

Last Price19.59

Price Trends

50DMA

18.88

Positive

100DMA

17.93

Positive

200DMA

16.96

Positive

Market Momentum

MACD

0.39

Positive

RSI

61.85

Neutral

STOCH

38.94

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HST, the sentiment is Positive. The current price of 19.59 is above the 20-day moving average (MA) of 19.58, above the 50-day MA of 18.88, and above the 200-day MA of 16.96, indicating a bullish trend. The MACD of 0.39 indicates Positive momentum. The RSI at 61.85 is Neutral, neither overbought nor oversold. The STOCH value of 38.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HST.

Host Hotels & Resorts Risk Analysis

Host Hotels & Resorts disclosed 33 risk factors in its most recent earnings report. Host Hotels & Resorts reported the most risks in the "Legal & Regulatory" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Host Hotels & Resorts Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HST	72 Outperform	$13.47B	17.77	11.62%	4.90%	6.45%	3.79%
RHP	69 Neutral	$6.22B	26.76	37.48%	5.01%	6.98%	-32.02%
APLE	67 Neutral	$2.89B	16.62	5.47%	8.30%	0.57%	-13.58%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
DRH	64 Neutral	$2.06B	38.47	3.98%	5.13%	0.95%	-8.40%
PK	63 Neutral	$2.28B	―	-8.38%	13.10%	-3.57%	-104.55%
SHO	62 Neutral	$1.76B	1,008.70	0.88%	3.98%	3.04%	-98.77%

* Real Estate Sector Average

Performance Comparison

HST

Host Hotels & Resorts

19.59

4.07

26.22%

DRH

Diamondrock

10.04

2.06

25.80%

SHO

Sunstone Hotel

9.28

-0.90

-8.82%

RHP

Ryman

98.75

3.42

3.58%

APLE

Apple Hospitality REIT

12.26

-1.42

-10.35%

Park Hotels & Resorts

11.31

-0.15

-1.30%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Feb 26, 2026