UPDATE: Deutsche Bank Reiterates Hold Rating, Raises PT on Strategic Hotels & Resorts
In a report published Monday, Deutsche Bank reiterated its Hold rating on Strategic Hotels & Resorts (NYSE: BEE), and slightly raised its price target from $6.50 to $7.00.
Deutsche Bank noted, “We expect BEE's RevPAR to outperform peers' given BEE's limited exposure in the North East. Beyond 4Q, BEE's West Coast hotels, the InterCon Miami (post renovation), and the Fairmont Scottsdale (ballroom upgrade) should drive revenue and earnings growth in 2013. BEE's new CEO, Rip Gellein, intends to continue BEE's prior strategies and manage the balance sheet conservatively. At current levels, we see the stock as fairly valued given uncertainty around corporate travel and lodging demand.”
Strategic Hotels & Resorts closed on Friday at $6.05.
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