Baird/STR Hotel Stock Index up 11.3 percent in September
HENDERSONVILLE, Tennessee and MILWAUKEE, Wisconsin -- The Baird/STR Hotel Stock Index ended September at 2034, an 11.3-percent increase for the month and a 26.9-percent increase for year-to-date 2010. The Index ended 2009 at 1603.
"The increase in the Baird/STR Hotel Stock Index is an indicator of some of the momentum that is building within the hotel industry," said Randy Smith, CEO of STR. "The revenue per available room (RevPAR) gains that we saw during the first half of this year were driven by increased occupancy, and now we're seeing RevPAR gains that are built on improved average daily rates in many markets. The anticipation of further average daily rate (ADR) improvement is a catalyst in attracting investors to the lodging sector."
"In September, we saw an improvement in sentiment with regard to the broader economy as well as the lodging space, which was the major driver of the Baird/STR Hotel Stock Index's 11.3 percent performance, beating the broader market and other real estate stocks," said David Loeb, managing director of Baird's hotel research platform. "Investors are looking for a strong finish to the year, and expectations for 2011 are also high as some investors see double-digit RevPAR growth as possible."
About the Baird/STR Hotel Stock Index
The Baird/STR Hotel Stock Index was set to equal 1000 on 1 January 2000, as its starting point. The Index reached its peak of 3178 on 5 July 2007. The Index's lowest point occurred on 6 March 2009, when it dropped to 573.
The Index is available exclusively on and . The Baird/STR Hotel Stock Index is a co-branded index created by Robert W. Baird & Co. (Baird) and Smith Travel Research, Inc. (STR). The market-cap weighted Index is comprised of 15 of the largest market capitalization hotel companies publicly traded on a U.S. exchange and attempts to characterize the performance of hotel stocks. The Index is maintained by Baird and is hosted on HotelNewsNow.com. The Index is not actively managed and a direct investment cannot be made in it.
The current companies that comprise the Baird/STR Hotel Stock Index: Ashford Hospitality Trust, Choice Hotels International, DiamondRock Hospitality, FelCor Lodging Trust, Hersha Hospitality Trust, Hospitality Properties Trust, Host Hotels & Resorts, Hyatt Hotels, InterContinental Hotels Group, LaSalle Hotel Properties, Marriott International, Orient-Express Hotels, Starwood Hotels & Resorts Worldwide, Sunstone Hotel Investors and Wyndham Worldwide.
Baird is an employee-owned, international wealth management, capital markets, private equity and asset management firm with offices in the United States, Europe and Asia. Established in 1919, Baird has more than 2,500 associates serving the needs of individual, corporate, institutional and municipal clients. Baird oversees and manages client assets of nearly $75 billion. Committed to being a great place to work, Baird ranked number 11 on FORTUNE's "100 Best Companies to Work For" in 2010 ? its seventh consecutive year on the list. Baird's principal operating subsidiaries are Robert W. Baird & Co. in the United States and Robert W. Baird Group Ltd. in Europe. Baird also has an operating subsidiary in Asia supporting Baird's private equity operations. For more information, please visit Baird's Web site at .
STR provides clients-including hotel operators, developers, financiers, analysts and suppliers to the hotel industry-access to hotel research with regular and custom reports covering North America, Mexico and Caribbean. STR provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR founded the STR family of companies and is proudly associated with STR Global, RRC Associates, STR Analytics, and . For more information, please visit .
Jeff Higley (STR)
VP, Digital Media & Communications
Phone: +1 (615) 824-8664 ext. 3318