The stock values of public hotel companies retreated slightly in July after two consecutive months of growth. The Baird Hotel Stock Index — which comprises 20 of the largest hotel brand companies and real estate investment trusts publicly traded on a U.S. stock exchange by market capitalization — fell 0.6% in July. So far in 2025 the index has declined in four of seven months. Year to date, the Hotel Stock Index is down 4.3%. The S&P 500 — an indicator of the health of the broader economy — rose 2.2% in July. Year to date, the S&P 500 is up 7.8%. \"Hotel stocks declined slightly in July as industry-wide RevPAR growth remained sluggish,\" said Michael Bellisario, senior research analyst and managing director at Baird. \"In conjunction with second-quarter earnings, most hotel companies took a more conservative approach to their fundamental outlooks for the remainder of the year in part due to continued macroeconomic uncertainties, a still-short booking window, and customer pricing sensitivity; however, the near-term demand trajectory appears on more stable footing ahead of the busier business travel and group mix months.\" The RMZ, or MSCI U.S. REIT Index — which is a gauge of the overall real estate investment market — declined 0.9% in July. The hotel brand sub-index fell 0.8% in July, while the hotel REIT sub-index rose just 0.6%. Month over month, Wyndham Hotels & Resorts' stock rose 5.9%, followed by Ashford Hospitality Trust's stock up 5.6%. Braemar Hotels & Resorts' stock fell 10.2% month over month. Year over year, Hilton led the way among public hotel companies with its stock rising 24.9%. Marriott International (+16.1%) and IHG Hotels & Resorts (+14.6%) rounded out the top three year-over-year performers. At the other end, Ashford Hospitality Trust (-38.8%) and Braemar Hotels & Resorts (-38%) reported the sharpest year-over-year declines.

Hotel stocks fall slightly in July

Public hotel company stock values declined slightly in July, with the Baird Hotel Stock Index dropping 0.6% despite two prior months of growth. The index is down 4.3% year to date, while the S&P 500 rose 2.2% in July and is up 7.8% year to date. Analyst Michael Bellisario attributed the decline to sluggish RevPAR growth, conservative earnings outlooks due to macroeconomic uncertainty, a short booking window, and customer pricing sensitivity. The RMZ (MSCI U.S. REIT Index) fell 0.9% in July, with the hotel brand sub-index down 0.8% and the hotel REIT sub-index up 0.6%. Month over month, Wyndham Hotels & Resorts and Ashford Hospitality Trust saw gains of 5.9% and 5.6% respectively, while Braemar Hotels & Resorts declined 10.2%. Year over year, Hilton's stock rose 24.9%, followed by Marriott International (+16.1%) and IHG Hotels & Resorts (+14.6%), while Ashford Hospitality Trust and Braemar Hotels & Resorts declined sharply by 38.8% and 38% respectively.