Public hotel companies' stock prices are feeling a mix of summer swelter.
The Baird Hotel Stock Index — which comprises 20 of the largest hotel brand companies and real estate investment trusts publicly traded on a U.S. stock exchange by market capitalization — fell 1.5% in July, its first monthly decrease since March and only its second decrease of the year. Year to date, the index is still up 19.3%.
The S&P 500 — an indicator of the health of the broader economy — was mostly flat, down 0.1% during the month. Year to date, the S&P 500 is up 9.4%.
“Hotel stock performance was mixed in July with the hotel REITs up and the global hotel brands down,” said Michael Bellisario, senior research analyst and managing director at Baird. “U.S. RevPAR growth continued to surprise to the upside with FIFA World Cup driving better-than-expected short-term demand, which led to meaningful ADR upside. Positively, the RevPAR outperformance was broad-based across geographies and not just concentrated in FIFA World Cup host markets, and industry-wide growth has remained solid following the conclusion of the tournament.”
The RMZ, or MSCI U.S. REIT Index — which is a gauge of the overall real estate investment market — rose 2.2% in July.
The hotel brand sub-index fell by 2.5% in July, while the hotel REIT sub-index rose 3.9% during the month.
Month over month, hotel REITs led the way in terms of stock performance, with DiamondRock Hospitality's stock up 8.7% month over month. On the other end, Wyndham Hotels & Resorts' stock value was down 11.1% from June.
Year over year, Chatham Lodging Trust and Pebblebrook Hotel Trust both reported their stock jumped more than 90% year over year. Meanwhile, Ashford Hospitality Trust's stock fell 49.2% compared to July 2025.
For more information about the Hotel Stock Index, email hotelstockindex@rwbaird.com. The Baird Hotel Stock Index and sub-indices are available exclusively on CoStar News Hotels. The indices were created by Robert W. Baird & Co. (Baird). The market-cap-weighted, price-only indices comprise 20 of the largest market-capitalization hotel companies publicly traded on a U.S. exchange and attempt to characterize the performance of hotel stocks. The Index and sub-indices are maintained by Baird and hosted on Hotel News Now, are not actively managed, and no direct investment can be made in them. As of 30 June 2021, the companies that comprised the Baird Hotel Stock Index included: Apple Hospitality REIT, Ashford Hospitality Trust, Chatham Lodging Trust, Choice Hotels International, DiamondRock Hospitality Company, Hersha Hospitality Trust, Hilton Inc., Host Hotels & Resorts, Hyatt Hotels, InterContinental Hotels Group, Marriott International, Park Hotels & Resorts, Inc., Pebblebrook Hotel Trust, RLJ Lodging Trust, Ryman Hospitality Properties, Service Properties Trust, Summit Hotel Properties, Sunstone Hotel Investors, Wyndham Hotels & Resorts, and Xenia Hotels & Resorts.