The tourist business in the United States is already close to, and in some ways exceeds the pre-pandemic level. Marriott International Inc. (NASDAQ: MAR) is fantastic news for the international hotel giant. This week, the company’s stock gained more than 8% and was valued at $152.6 during trading on July 20.
The good news comes from Smith Travel Research, which issued its June 2022 hotel performance report on Tuesday, July 19. The average day rate (ADR) was $155.04, up 15.3 percent from June 2019.
Revenue Per Available Room (RevPAR) also reached a new high of $108.64, up 10.3 percent from June 2019. In terms of occupancy rates, hotels are still more than 4% lower than in 2019, while total occupancy remains at 70%.
The Smith Travel Research analysis backed up the quotes of numerous significant hotel brands, including Marriott International, all at once. Investors were particularly encouraged by the revelation that the chain plans to establish five additional hotels in the Indian states of Jharkhand and West Bengal as part of an arrangement with hotel owner Beekay Group.
It should be noted that Marriott International plans to release its second-quarter earnings in early August. The corporation dubbed the first quarter, the results of which were revealed in May, one of the best since the epidemic.
Revenue increased by more than 80%, and net income reached $1.25 per share. Marriott International management reported a significant rise in travel interest, which resulted in an increase in hotel occupancy to 60% in the first quarter.
This percentage was just 45 percent in the first quarter of 2021. In presenting the first-quarter results, the corporation refrained to provide an exact projection for the remainder of the year, citing economic uncertainties. However, Marriott International anticipated a rise in business activity and hotel occupancy because of business travelers.
The weekly gain for MAR stocks was 7.26 percent, with a monthly gain of 6.65 percent. Its quarterly price performance was -20.65%, while its trailing twelve-month performance was 7.58%.