Hyatt Shares Rise Nearly 3% as Travel Stocks Rally, Building on Strong Third Quarter With 7.2% RevPAR Growth

Shares of Hyatt Hotels rose nearly 3% in early trading Monday as travel stocks rallied, extending gains that followed the hotel operator's better-than-expected third-quarter profit last week.

Hyatt stock rose 2.74% to $185.52 as of about 9:49 a.m. Eastern time. The shares closed at $180.57 on Friday.

Travel and hospitality stocks moved higher as oil prices fell on hopes for talks between the United States and Iran, easing concerns about fuel costs and travel disruptions.

Strong quarter

Hyatt reported third-quarter results on Oct. 29 that showed strong growth in its core fee business.

Adjusted earnings came in at $1.27 per share, well above analysts' expectations. Revenue fell 2.4% from a year earlier to $1.74 billion, slightly below estimates of about $1.77 billion, partly reflecting assets the company sold in 2025.

Net income was $58 million, compared with a loss a year earlier.

Comparable system-wide revenue per available room, or RevPAR, a key industry measure combining room rates and occupancy, rose 7.2%, exceeding the company's expectations. Luxury hotels led the growth. Outside the United States, RevPAR increased nearly 6%.

Gross fees, which Hyatt earns from managing and franchising hotels, rose 15.2% to $327 million.

Chairman and Chief Executive Mark Hoplamazian pointed to "our strong third quarter results, including 15% growth in Gross Fees," saying they reinforce the strength of Hyatt's brands and asset-light business model.

The stock rose about 5% after the report.

Weak spot in all-inclusive

Not all segments performed well. Net package RevPAR at Hyatt's all-inclusive resorts declined 2.5%.

Growing pipeline

Hyatt's development pipeline grew about 12% to roughly 158,000 rooms. More than half of signings in its Essentials portfolio in the United States during the quarter were in new markets for Hyatt.

The company opened 3,808 rooms during the quarter.

Outlook

For the full year, Hyatt expects comparable system-wide RevPAR to grow 5% to 5.5% and net rooms to grow about 6%.

It projects adjusted EBITDA of $1.17 billion to $1.2 billion, an increase of 14% to 17% after adjusting for acquisitions and asset sales.

Hyatt also raised its plans for returning capital to shareholders to $375 million to $425 million this year through dividends and share buybacks. It repurchased $147 million of stock in the third quarter and declared a quarterly dividend of 15 cents per share.

Travel backdrop

Hotel stocks have been sensitive to developments in the Middle East this year, as the conflict pushed up oil prices and raised concerns about international travel.

Hyatt said demand from affluent travelers has remained strong, supporting its premium-focused portfolio.

What's next

Investors will watch for continued strength in RevPAR heading into the holiday season and for updates on Hyatt's development pipeline and asset-light strategy.