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Analysts still bullish about hospitality trusts

Goola Warden
Goola Warden6/15/2022 03:23 PM GMT+08  • 4 min read
Analysts still bullish about hospitality trusts
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As travel restrictions are lifted, analysts are becoming increasingly bullish on the outlook for hospitality trusts. DBS Group Research believes that the worst of the lockdowns are done and dusted. “The return of leisure travel has led to hoteliers’ hiking room rates. Leisure demand is poised for a meaningful upturn come 2H2022 as governments across the world ease Covid tests and quarantine requirements for vaccinated travellers,” a May DBS report points out.

For instance, RevPAR rose by 34% y-o-y in 1Q2022 in many countries, DBS observes. Its analysts believe that the uptick in Omicron cases globally that is being reported currently is unlikely to derail the recovery trajectory.

“We continue to expect more upside to RevPAR from 2Q22 onwards. The forward booking pace has improved and hoteliers are more confident in hiking room rates,” DBS says.

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