Choice Hotels (CHH) bolsters its presence in Texas with a new hotel – April 5, 2022

Choice Hotels International, Inc.it’s (CHH Free Report) The Cambria brand recently announced the addition of the Cambria Hotel Austin Airport in Austin, TX. Developed by W2 SF Airport Hospitality Business LP, it is the brand’s first property in Central Texas and sixth property statewide. The company said the opening of the Cambria Hotel Austin Downtown Rainey Street is underway with an expected opening by summer 2023.

Located at 7800 E. Ben White Boulevard, this 127-room upscale hotel offers guests access to fitness centers, on-site restaurants, and indoor and outdoor multi-purpose meeting spaces. It also offers convenient access to Austin Bergstrom International Airport. The property is close to several leisure attractions and corporate headquarters such as Oracle and Dell.

Regarding the opening, Janis Cannon, Senior Vice President, Premium Brands, Choice Hotels, said, “Because Texas is one of the fastest growing states in the country, it is quite fitting that we are launching our first hotel in Central Texas and the sixth hotel overall in the Lone Star State, following openings in Houston, McAllen, Plano, Richardson and Southlake.”

Focus on expansion initiatives

The Cambria Hotels brand is a major growth driver for the company. As of December 31, 2021, the number of domestic units in the company’s upscale portfolio increased 13% year-over-year, driven by an increase in the number of units for the Cambria Hotels brand and Ascend Hotel Collection. During the fourth quarter of 2021, the company opened four Cambria projects, bringing the total number of units to 57. The company said it had nearly 60 Cambria hotels open in cities including Chicago, Los Angeles, New York, New Orleans and Phoenix.

Building on strong consumer confidence and the attractiveness of Choice Hotels’ value proposition, the company plans to increase the revenue intensity of its system by adding more properties. The company plans accelerated expansion in major US cities. Additionally, he said he has 70 Cambria hotels in the pipeline. In 2022, the company plans to open 10 additional Cambria hotels.

Image source: Zacks Investment Research

Over the past year, shares of Choice Hotels have gained 25.5% against industry growth of 4.5%.

Zacks Ranking and Stocks to Consider

Choice Hotels currently carries a Zacks rank of #3 (Hold). You can see the full list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Some higher ranked stocks in the consumer discretionary sector are Funko Inc. (FNKO free report), Boyd Gaming Corporation (BYD free report) and Bluegreen Vacations Holding Corporation (BVH free report).

Funko sports a Zacks Rank #1 at present. FNKO has a surprise on the profits of the last four quarters of 96.2% on average. Shares of the company have fallen 18.8% over the past year.

Zacks’ consensus estimate for Funko’s sales and EPS (earnings per share) for the current fiscal year suggests growth of 22.6% and 26.8%, respectively, from reported levels. last year.

Boyd Gaming currently carries a Zacks Rank #2 (Buy). BYD has a four-quarter earnings surprise of 48.8% on average. Shares of the company have gained 5.9% over the past year.

Zacks consensus estimate for BYD’s current-year sales and EPS indicate growth of 2.3% and 2.9%, respectively, from reported levels in the prior year period .

Bluegreen Vacations currently carries a No. 2 Zacks rank. BVH has a trailing four-quarter earnings surprise of 425.1% on average. The stock is up 31.8% over the past year.

Zacks consensus estimate for BVH’s current year sales and EPS indicate growth of 8.3% and 20.8%, respectively, over reported levels in the prior year period .

Comments are closed.