Hyatt Hotels (H) AI Stock Analysis

• Market Cap: $12.98B
• Dividend Yield: 0.44%
• Average Volume (3M): 944.37K
• Price to Earnings (P/E): 32.1
• Beta (1Y): 1.23
• Revenue Growth: 0.74%
• EPS Growth: -54.42%
• Country: US
• Employees: 52,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Lodging
• EPS (TTM): 0.68
• Shares Outstanding: 42,337,032
• 10 Day Avg. Volume: 1,104,931
• 30 Day Avg. Volume: 944,370
• PEG Ratio: 0.02
• Price to Book (P/B): 4.42
• Price to Sales (P/S): 4.75
• P/FCF Ratio: 33.62
• Enterprise Value/Market Cap: 1.47
• Enterprise Value/Revenue: 4.55
• Enterprise Value/Gross Profit: 14.96
• Enterprise Value/Ebitda: 25.97
• 1Y Price Target: $160.81
• Price Target Upside: 18.75% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $150.00 ▲(10.77% Upside)

Hyatt's overall stock score is driven by a positive earnings call, highlighting strategic growth initiatives and strong performance in luxury segments. However, financial performance concerns, particularly in cash flow and leverage, along with bearish technical indicators and high valuation, weigh on the score.

Positive Factors

Asset-Light Model

The shift towards an asset-light model enhances scalability and reduces capital expenditure, allowing Hyatt to focus on high-margin management and franchise fees, improving long-term profitability.

Loyalty Program Growth

A growing loyalty program strengthens customer retention and repeat business, providing a stable revenue stream and competitive advantage in the hospitality industry.

Pipeline Expansion

Expanding the development pipeline supports future growth and market presence, ensuring Hyatt can capture increasing demand and enhance its global footprint.

Negative Factors

Declining Margins

Declining margins can pressure profitability, indicating potential inefficiencies or rising costs that may need addressing to maintain financial health.

Cash Flow Challenges

Reduced cash flow limits financial flexibility, impacting the ability to invest in growth opportunities and manage debt, which could hinder long-term strategic initiatives.

Increased Leverage

Higher leverage increases financial risk and interest obligations, potentially constraining operational flexibility and increasing vulnerability to economic downturns.

Hyatt Hotels Business Overview & Revenue Model

Company Description

Hyatt Hotels Corporation operates as a hospitality company in the United States and internationally. It operates through Owned and Leased Hotels, Americas Management and Franchising, ASPAC Management and Franchising, EAME/SW Asia Management and Franchising, and Apple Leisure Group segments. The company manages, franchises, licenses, owns, and leases portfolio of properties, consisting of full-service hotels, select service hotels, resorts, and other properties, including timeshare, fractional, residential, vacation, and condominium units. It operates its properties under the Park Hyatt, Miraval, Grand Hyatt, Alila, Andaz, The Unbound Collection by Hyatt, Destination, Hyatt Regency, Hyatt, Thompson Hotels, Hyatt Centric, Joie de Vivre, Caption by Hyatt, Hyatt House, Hyatt Place, Hyatt Ziva, Hyatt Zilara, UrCove, Hyatt Residence Club, Hyatt Residences, Hyatt Resorts, Secrets Resorts & Spas, Dreams Resorts & Spas, Breathless Resorts & Spas, Zoetry Wellness & Spa Resorts, Alua Hotels & Resorts, and Sunscape Resorts & Spas brands. As of March 31, 2022, the company's hotel portfolio consisted of approximately 540 hotels comprising 113,000 rooms worldwide. It primarily serves corporations; national, state, and regional associations; specialty market accounts, including social, government, military, educational, religious, and fraternal organizations; travel agency and luxury organizations; and a group of individual consumers. The company also operates World of Hyatt loyalty program which rewards points that can be redeemed for hotel nights and other rewards. Hyatt Hotels Corporation was founded in 1957 and is headquartered in Chicago, Illinois.

How the Company Makes Money

Hyatt Hotels generates revenue primarily through three key streams: room rentals, food and beverage sales, and management and franchise fees. Room rentals constitute the largest portion of its revenue, derived from guests staying at Hyatt's owned, leased, and managed properties. Food and beverage sales come from on-site restaurants, bars, and catering services offered at the hotels. Additionally, Hyatt earns significant income from management and franchise agreements, where it provides operational support and brand recognition to independent hotel owners in exchange for a percentage of their revenue. The company's loyalty program, Hyatt World, also plays a crucial role in attracting repeat business and enhancing customer retention. Strategic partnerships with airlines and other travel-related companies further bolster Hyatt’s earnings by facilitating cross-promotional opportunities and enhancing the overall guest experience.

Hyatt Hotels Financial Statement Overview

Summary

Hyatt Hotels shows strong revenue growth and profitability, but declining margins and increased leverage present potential risks. Cash flow challenges are evident, with a significant drop in free cash flow. The company needs to focus on improving cash flow and managing debt to sustain its growth trajectory.

Income Statement

Hyatt Hotels has demonstrated strong revenue growth with a 30.41% increase in TTM, indicating a robust recovery in the travel lodging sector. The gross profit margin is healthy at 30.42%, though it has declined from previous periods. Net profit margin at 10.30% shows profitability, but there's a noticeable drop from the previous year's 39.32%. The EBIT and EBITDA margins are solid, reflecting efficient operations, but have also decreased compared to the previous year.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.78, indicating higher leverage, which could pose a risk if not managed well. Return on equity is at 12.11%, showing a reasonable return on shareholders' investments, though it has decreased from last year. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

Free cash flow has significantly decreased by 65.08% in the TTM, which is concerning. The operating cash flow to net income ratio is low at 0.09, indicating potential cash flow issues. The free cash flow to net income ratio is 0.44, reflecting a moderate conversion of income to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.19B	3.30B	3.61B	3.27B	1.45B	780.00M
Gross Profit	1.28B	1.40B	1.39B	1.30B	481.00M	88.00M
EBITDA	735.00M	749.00M	728.00M	853.00M	59.00M	-322.00M
Net Income	432.00M	1.30B	220.00M	455.00M	-222.00M	-703.00M
Balance Sheet
Total Assets	15.91B	13.32B	12.83B	12.31B	12.60B	9.13B
Cash, Cash Equivalents and Short-Term Investments	912.00M	1.38B	896.00M	1.15B	1.19B	1.88B
Total Debt	6.33B	4.06B	3.37B	3.45B	4.36B	3.65B
Total Liabilities	12.02B	9.50B	9.27B	8.61B	9.04B	5.92B
Stockholders Equity	3.56B	3.55B	3.56B	3.70B	3.56B	3.21B
Cash Flow
Free Cash Flow	88.00M	466.00M	599.00M	473.00M	204.00M	-733.00M
Operating Cash Flow	256.00M	636.00M	797.00M	674.00M	315.00M	-611.00M
Investing Cash Flow	-733.00M	81.00M	-365.00M	416.00M	-1.77B	-736.00M
Financing Cash Flow	81.00M	-618.00M	-578.00M	-1.11B	1.29B	1.52B

Hyatt Hotels Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 135.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For H, the sentiment is Negative. The current price of 135.42 is below the 20-day moving average (MA) of 144.85, below the 50-day MA of 143.93, and below the 200-day MA of 137.20, indicating a bearish trend. The MACD of -1.53 indicates Positive momentum. The RSI at 33.57 is Neutral, neither overbought nor oversold. The STOCH value of 9.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for H.

Hyatt Hotels Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HTHT	76 Outperform	$12.11B	25.02	30.38%	4.43%	4.43%	1.61%
WH	65 Neutral	$5.53B	16.86	57.98%	2.17%	3.38%	38.04%
H	63 Neutral	$12.98B	32.07	11.66%	0.44%	0.74%	-54.42%
HLT	63 Neutral	$60.12B	37.48	―	0.22%	6.68%	48.03%
MAR	62 Neutral	$73.90B	30.71	―	0.96%	5.12%	-11.48%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
IHG	60 Neutral	$18.32B	25.47	―	1.42%	8.89%	23.20%

Hyatt Hotels Corporate Events

Hyatt Hotels Secures New $1.5 Billion Credit Facility

On October 30, 2025, Hyatt Hotels Corporation entered into a new Credit Agreement with several financial institutions, establishing a $1.5 billion senior unsecured revolving credit facility maturing in 2030. This agreement replaces a previous credit agreement from May 2022 and allows for loans in U.S. dollars and other currencies, as well as the issuance of letters of credit. The facility includes options for increasing the credit limit and bears interest rates based on the company’s debt ratings, with various covenants and provisions included.

The most recent analyst rating on (H) stock is a Buy with a $148.31 price target. To see the full list of analyst forecasts on Hyatt Hotels stock, see the H Stock Forecast page.

Hyatt Hotels’ Earnings Call Highlights Strategic Growth

Hyatt Hotels’ recent earnings call conveyed a generally optimistic sentiment, underscored by strategic acquisitions and robust growth in key areas such as loyalty membership and net rooms. Despite facing challenges in the U.S. and Greater China markets, the company remains focused on long-term growth and brand expansion.

Hyatt Hotels Reports Q2 2025 Financial Results

Hyatt Hotels Corporation, headquartered in Chicago, is a global hospitality company known for its diverse portfolio of luxury, lifestyle, and all-inclusive properties across 80 countries.

Hyatt Hotels Reports Q2 2025 Financial Results

On August 7, 2025, Hyatt Hotels Corporation reported its second quarter 2025 financial results, highlighting a 1.6% increase in RevPAR and an 11.8% net rooms growth. The company also announced the completion of the Playa Hotels Acquisition and plans to sell the acquired real estate, reinforcing its asset-light strategy. Hyatt projects continued growth in RevPAR and net rooms for the full year 2025, with expectations of strong financial performance driven by its brand-led strategy.

The most recent analyst rating on (H) stock is a Hold with a $141.00 price target. To see the full list of analyst forecasts on Hyatt Hotels stock, see the H Stock Forecast page.