Hyatt Hotels Corporation (H - Free Report) is consistently trying to fortify its presence worldwide. Recently, the company’s affiliate signed a franchisee agreement with H176 Reykjavík ehf —a fully-owned subsidiary of Icelandic real estate company Reitir fasteignafelag hf — to develop Hyatt Centric Reykjavík in Iceland.
Separately, it also announced the opening of Great Scotland Yard as part of The Unbound Collection by Hyatt for the first time in the United Kingdom.
The construction of Hyatt Centric Reykjavík is likely to be completed in 2022. Notably, the 169-roomed property, located at Laugavegur, the main street of Reykjavík will be in close proximity to the former headquarters of the Icelandic National Broadcasting Service and Iceland’s main international airport.
Moreover, Hyatt Centric Reykjavík will strengthen the company’s brands presence in Europe, joining Hyatt Centric La Rosière, Hyatt Centric Milan Centrale, Hyatt Centric Murano Venice, Hyatt Centric Gran Via Madrid, Hyatt Centric Levent Istanbul and the newly opened Hyatt Centric The Liberties Dublin.
Hyatt’s The Unbound Collection Brand Debuts in U.K.
Hyatt also announced that The Unbound Collection brand debuts in the United Kingdom, with the launch of Great Scotland Yard. Notably, the 152-roomed and five-storied property is situated on the former headquarters of the Metropolitan Police, marking the brand’s sixth property in Europe.
The new property is just few steps away from Parliament and Covent Garden, which will offer its guests vibrant opportunities to the city’s cultural hotspots.
Expansion to Spur Growth
In a bid to maintain its position as the fastest-growing global hospitality company, Hyatt is continuing to drive unit growth. As of Sep 30, 2019, the company's portfolio included more than 875 properties in 60 countries across six continents. Hyatt is also expanding its footprint into the diverse international markets including Asia Pacific, Europe, Africa, the Middle East and Latin America.
This apart, the company has announced further expansion plans in Australia, Brazil, Germany, the U.K., Indonesia, Japan, Mexico, Saudi Arabia, Singapore, Thailand, the Netherlands and others.
Meanwhile, the company’s new brand signings have consistently exceeded the openings globally. This trend is expected to continue in the current year and beyond. In 2018, Hyatt registered net room growth of 13.6% on a year-over-year basis. For 2019, it expects unit growth of roughly 7.25-7.75%, reflecting 80 new hotel openings.
In the past six months, shares of Hyatt have gained 6.8% compared with the industry’s 6.1% growth.
Zacks Rank and Stocks to Consider
Hyatt, which shares space with Choice Hotels International, Inc. (CHH - Free Report) , has a Zacks Rank #3 (Hold). Some better-ranked stocks in the same space include Civeo Corporation (CVEO - Free Report) and Wyndham Destinations, Inc. (WYND - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Civeo and Wyndham reported better-than-expected earnings in three of the trailing four quarters, the average beat being 42.5% and 7.2%, respectively.
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