The Baird/STR Hotel Stock Index reported a 3.1-percent decrease to 3,079 in January. The index ended 2013 at 3,177.
Robert W. Baird and Co. and STR partnered to create the Baird/STR Hotel Stock Index, the first widely available U.S. hotel stock index in the hotel industry. The index combines Baird’s financial markets expertise, the data processing of STR and the up-to-the-minute distribution capabilities of Hotel News Now, the industry’s leading hotel news website.
The Baird/STR Hotel Stock Index outperformed the S&P 500 (-3.6 percent), but underperformed the MSCI REIT (RMZ) (+4.1 percent), during January.
“Hotel stocks performed rather poorly in January,” said Randy Smith, co-founder and chairman of STR. “The Baird/STR Hotel Stock Index reflected the rising concern about the course of the economy and the travel industry. So while industry fundamentals continue to steadily improve, investors are clearly concerned about the strength and duration of the rebound.”
“Hotel stocks reversed course in January as the broader market pulled back in the wake of emerging market fears; money flowed into other real estate sectors following last year’s massive underperformance,” said David Loeb, senior hotel research analyst and managing director at Baird. “Rising interest rate fears have largely abated and investors are focused on upcoming fourth-quarter earnings reports and 2014 outlooks, which could ease investors’ concerns about slowing growth.”
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 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.
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 HotelNewsNow.com. For more information, please visit www.str.com.
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