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Host Hotels & Resorts (HST)
NASDAQ:HST
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Host Hotels & Resorts
(NASDAQ:HST)
68Neutral
Positive Factors
Financial Performance
HST had set the most conservative initial guide among lodging REITs and its higher-end portfolio may be better insulated.
Guidance
HST reported meaningful Q1 upside along with a surprise 2025 guidance increase.
Valuation
Shares can continue to see modest expansion in valuation multiples toward longer-term historical ranges.
Negative Factors
Earnings
HST's 2025 outlook missed expectations, with EBITDA guidance below consensus.
Margins
Higher wage growth on new union contracts is the biggest headwind with 2025 margins down.
Target Price
Target price is lowered to $19.00 from $21.00.
Host Hotels & Resorts (HST) vs. S&P 500 (SPY)
Market Cap
$10.70B
Dividend Yield5.14%
Average Volume (3M)10.72M
Price to Earnings (P/E)16.1
Beta (1Y)1.03
Revenue Growth7.52%
EPS Growth-5.25%
CountryUS
Employees165
SectorReal Estate
Sector Strength68
IndustryREIT - Hotel & Motel
Share Statistics
EPS (TTM)0.35
Shares Outstanding693,714,400
10 Day Avg. Volume8,474,321
30 Day Avg. Volume10,719,152
Financial Highlights & Ratios
PEG Ratio-5.02
Price to Book (P/B)1.55
Price to Sales (P/S)0.00
P/FCF Ratio12.18
Enterprise Value/Market Cap1.45
Enterprise Value/Revenue0.69
Enterprise Value/Gross Profit5.66
Enterprise Value/Ebitda2.46
Forecast
1Y Price Target
$16.90Price Target Upside9.60% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering12
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 ownership and leasing of hotel properties. The company earns income from hotel operations, which includes room charges, food and beverage sales, and other guest services. As a REIT, Host Hotels & Resorts also benefits from favorable tax treatment, provided it distributes the majority of its taxable income to shareholders in the form of dividends. Additionally, the company may engage in strategic asset dispositions and property renovations to enhance the value and profitability of its portfolio. Host Hotels & Resorts often enters into management agreements with leading hotel operators, allowing it to leverage their expertise and global brand recognition to optimize revenue and occupancy rates at its properties.
Host Hotels & Resorts Financial Statement Overview
Summary
Host Hotels & Resorts exhibits robust financial health with strong revenue and profitability growth, stable leverage, and solid cash flow generation. The income statement shows a strong revenue increase and efficient cost management, though net profit margin slightly decreased. The balance sheet is well-balanced with a healthy equity base and manageable debt levels. Cash flow is strong, but there is room for improvement in free cash flow efficiency.Income Statement
Host Hotels & Resorts has demonstrated strong performance with a consistent increase in total revenue from $4.91 billion in 2022 to $5.81 billion in TTM (Trailing-Twelve-Months) 2025. Gross profit margin improved to 59.54% in TTM 2025, highlighting efficient cost management. However, net profit margin slightly decreased from 12.27% in 2024 to 11.66% in TTM 2025, indicating a minor decline in net income efficiency despite revenue growth. EBIT and EBITDA margins remained stable, reflecting solid operational performance.76
Positive
Balance Sheet
The company's balance sheet is stable with a debt-to-equity ratio of 0.76 in TTM 2025, indicating a balanced leverage position. Return on equity slightly decreased to 10.18% in TTM 2025, suggesting modest profitability on equity. The equity ratio stood at 51.38%, showcasing a healthy equity base supporting total assets. Overall, the balance sheet presents a sound financial structure with manageable debt levels.70
Positive
Cash Flow
Operating cash flow to net income ratio is strong at 2.11 in TTM 2025, showing robust cash generation relative to net income. Free cash flow grew by 3.89% from 2024 to TTM 2025, contributing positively to liquidity. However, the free cash flow to net income ratio declined slightly, indicating the need for cautious cash management. Overall, cash flow generation is solid, but attention to free cash flow efficiency is advisable.68
Positive
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 5.81B | 5.68B | 5.31B | 4.91B | 2.89B | 5.47B | Gross Profit |
| 2.73B | 3.03B | 1.57B | 2.93B | 1.59B | 3.11B | EBIT |
| 813.00M | 875.00M | 827.00M | 775.00M | 81.00M | 799.00M | EBITDA |
| 1.64B | 1.53B | 1.67B | 1.42B | 843.00M | 1.47B | Net Income Common Stockholders |
| 677.00M | 697.00M | 740.00M | 633.00M | -11.00M | 920.00M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 428.00M | 554.00M | 1.14B | 667.00M | 807.00M | 1.57B | Total Assets |
| 12.95B | 13.05B | 12.24B | 12.27B | 12.35B | 12.30B | Total Debt |
| 5.64B | 5.64B | 4.77B | 4.78B | 5.46B | 4.40B | Net Debt |
| 5.22B | 5.09B | 3.63B | 4.12B | 4.65B | 2.83B | Total Liabilities |
| 6.16B | 6.27B | 5.42B | 5.39B | 5.78B | 4.84B | Stockholders Equity |
| 6.65B | 6.61B | 6.63B | 6.71B | 6.44B | 7.32B |
| Cash Flow | Free Cash Flow | ||||
| 841.00M | 950.00M | 795.00M | 912.00M | -135.00M | 692.00M | Operating Cash Flow |
| 1.43B | 1.50B | 1.44B | 1.42B | 292.00M | 1.25B | Investing Cash Flow |
| -2.02B | -2.04B | -183.00M | -618.00M | -1.16B | 58.00M | Financing Cash Flow |
| -290.00M | -13.00M | -771.00M | -874.00M | -657.00M | -1.31B |
Host Hotels & Resorts Technical Analysis
Positive
15.42
Price Trends
14.39
Positive
15.49
Negative
16.24
Negative
Market Momentum
0.37
Negative
61.07
Neutral
61.77
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 15.42 is above the 20-day moving average (MA) of 14.68, above the 50-day MA of 14.39, and below the 200-day MA of 16.24, indicating a neutral trend. The MACD of 0.37 indicates Negative momentum. The RSI at 61.07 is Neutral, neither overbought nor oversold. The STOCH value of 61.77 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 (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $5.95B | 21.36 | 54.93% | 4.54% | 9.27% | -2.13% | |
72 Outperform | $2.16B | 18.34 | 3.46% | 9.19% | -3.68% | 35.35% | |
71 Outperform | $1.60B | 39.64 | 3.22% | 2.17% | 3.73% | -44.49% | |
69 Neutral | $2.87B | 15.37 | 5.84% | 7.87% | 4.98% | -7.08% | |
68 Neutral | $10.70B | 16.13 | 10.12% | 5.14% | 7.52% | -5.25% | |
61 Neutral | $1.77B | 92.24 | 1.66% | 4.04% | -3.90% | -89.21% | |
60 Neutral | $2.82B | 10.29 | 0.31% | 8508.26% | 5.91% | -17.42% |
* Real Estate Sector Average
Performance Comparison
HST
Host Hotels & Resorts
15.42
-1.97
-11.33%
DRH
Diamondrock
7.73
-0.36
-4.45%
SHO
Sunstone Hotel
8.88
-1.13
-11.29%
RHP
Ryman
99.17
-0.70
-0.70%
APLE
Apple Hospitality REIT
12.05
-1.63
-11.92%
PK
Park Hotels & Resorts
10.80
-3.85
-26.28%
Host Hotels & Resorts Earnings Call Summary
Earnings Call Date:Apr 30, 2025
(Q1-2025)
| % Change Since: 9.21%|
Next Earnings Date:Jul 30, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted strong financial performance and recovery in key segments like Maui and group bookings. However, economic uncertainty, challenges in the business transient segment, and potential cost pressures pose risks. The company remains cautious but optimistic, leveraging its strong balance sheet and strategic capital allocation.Q1-2025 Updates
Positive Updates
Strong Financial Performance
Adjusted EBITDAre of $514 million, up 5.1% over last year, and adjusted FFO per share of $0.64, up 4.9% over last year. Comparable hotel total RevPAR improved 5.8% year-over-year.
Maui Recovery
Transient rooms sold in Maui were up approximately 70% year-over-year, with a 16% RevPAR growth in the first quarter contributing positively to overall portfolio growth.
Successful Reopening of Don CeSar
The Don CeSar reopened with stronger-than-anticipated transient demand, higher average checks in F&B outlets, and increased demand for spa services.
Capital Allocation and Share Repurchases
Repurchased 6.3 million shares of common stock at an average price of $15.79 per share, totaling $100 million, with $585 million remaining capacity under the share repurchase program.
Positive Group Booking Trends
Group RevPAR increased by 7% year-over-year with strong corporate group bookings, and total group revenue pace up by 3.3% compared to last year.
Negative Updates
Impact of Economic Uncertainty
Maintained RevPAR guidance due to heightened macroeconomic uncertainty, with a slight reduction to total RevPAR driven by moderating trends in group lead volume.
Challenges in Business Transient Segment
Business transient RevPAR grew only 2% due to a 5% decline in volume, and expectations for business transient revenue to remain flat for the remainder of 2025.
Cost and Margin Pressures
Comparable hotel EBITDA margin expected to decline by 160 basis points year-over-year at the low end of guidance, driven by wage and benefit expenses and fixed expense pressures.
Potential Delays in Capital Projects
Concerns over tariff impacts on the CapEx budget and potential off-ramps for capital projects if economic conditions worsen.
Company Guidance
During the first quarter of 2025, Host Hotels & Resorts reported an adjusted EBITDAre of $514 million, reflecting a 5.1% increase from the previous year, and an adjusted FFO per share of $0.64, up by 4.9%. The company also noted a 5.8% improvement in comparable hotel total RevPAR and a 7% increase in comparable hotel RevPAR, driven by robust rate growth. The EBITDA margin for comparable hotels improved by 30 basis points year-over-year to 31.8%. The company highlighted strong transient RevPAR growth of 6%, particularly in Maui, New York, and Los Angeles, while group RevPAR rose by 7% year-over-year. Host Hotels is maintaining its comparable hotel RevPAR guidance for 2025, with expectations of a 50 basis point to 2.5% growth over 2024, despite macroeconomic uncertainties. The company repurchased 6.3 million shares at an average price of $15.79 and has $585 million remaining capacity under its share repurchase program. Capital expenditure guidance for 2025 is set between $580 million and $670 million, including investments for property damage reconstruction and redevelopment projects.Host Hotels & Resorts Corporate Events
Executive/Board ChangesShareholder Meetings
Host Hotels & Resorts Approves Key Proposals at Meeting
Neutral
May 16, 2025
On May 14, 2025, Host Hotels & Resorts, Inc. held its annual stockholders meeting where three proposals were voted on: the election of directors, ratification of KPMG LLP as the independent accountants for 2025, and an advisory vote on executive compensation. All proposals were approved, with directors elected for one-year terms, KPMG LLP’s appointment ratified, and executive compensation endorsed by approximately 88% of votes cast.
The most recent analyst rating on (HST) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Host Hotels & Resorts stock, see the HST Stock Forecast page.
Spark’s Take on HST Stock
According to Spark, TipRanks’ AI Analyst, HST is a Neutral.
Host Hotels & Resorts demonstrates solid financial performance with strong revenue growth and effective cost management. While the technical indicators suggest some caution due to overbought conditions, the company’s reasonable valuation and attractive dividend yield provide support. The earnings call highlighted strengths in specific markets and strategic capital allocation, though economic uncertainties and cost pressures remain concerns. Overall, the stock presents a balanced risk-reward profile.
To see Spark’s full report on HST stock, click here.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.