Hyatt Hotels: I Underestimated (Rating Upgrade)

Hyatt Hotels Corporation is upgraded from 'hold' to a soft 'buy' based on management's robust growth outlook and improving fundamentals. H expects 2026–2028 EBITDA CAGR of 9–13%, driven by luxury segment expansion, loyalty program growth, and scalable brand initiatives. Net leverage ratio of 3.06 positions H as lower risk versus peers, supporting a case for at least current multiples or higher by 2028. Potential annualized returns range from 1.4% to 19.1% depending on valuation multiples, with Q2 2026 results on July 30 as a near-term catalyst.

Back in early February of this year, I made the decision to downgrade shares of Hyatt Hotels Corporation ( H ) from a ‘buy’ to a ‘hold’. This decision was not made lightly. I found myself encouraged by