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Hyatt Enhances Global Hotel Portfolio With Oracle OPERA Cloud

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Hyatt Hotels Corporation (H - Free Report) selected Oracle OPERA Cloud as the property management system for its global operations. The platform will help standardize operations and manage data across more than 1,000 hotels and all-inclusive resorts.

This move reflects Hyatt's efforts to enhance efficiency by centralizing its processes on a secure cloud-based system. Built on Oracle Cloud Infrastructure, OPERA Cloud will allow Hyatt to streamline data management across its global properties. The system offers insights for better planning and delivers personalized guest experiences. With mobile access, Hyatt colleagues can assist guests from any location, which will improve overall service and operational consistency.

Hyatt will enhance its operations by using the Oracle Hospitality Integration Platform (OHIP). This platform enables properties to access more than 1,000 pre-integrated services, allowing quick customization and innovation. With Oracle's cloud, H can better adapt to the unique needs of its guests and properties across different markets.

H’s shares rose 2.4% during the trading session and 1.1% in the after-hours trading session on Sep. 17, 2024.

Hyatt’s YTD Price Performance

Shares of the company have gained 13.8% in the year-to-date period compared with the Zacks Hotels and Motels industry’s 9.1% growth. The company is benefiting from a gradual increase in demand, new hotel openings and acquisition initiatives. Also, consistent focus on an asset-light model initiative and strategic partnerships bode well.

Zacks Investment Research
Image Source: Zacks Investment Research

The company continues to expand its global footprint, contributing to its growth strategy. In second-quarter 2024, it added 18 new hotels, which included more than 3,200 rooms, marking a 4.6% increase in net room growth. H anticipates net room growth to increase in the range of 5.5-6% year over year in 2024.

The company reported steady improvements in business transient revenues in second-quarter 2024. It remains optimistic due to strong group bookings, confidence in the recovery of business transient demand and steady leisure transient demand levels. It anticipates group and business transient revenue growth to exceed leisure transient revenues in the second half of the year.

Zacks Rank & Key Picks

Hyatt currently carries a Zacks Rank #3 (Hold).

Here are some better-ranked stocks from the Consumer Discretionary sector.

DoubleDown Interactive Co., Ltd. (DDI - Free Report) currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

DDI has a trailing four-quarter earnings surprise of 22.1%, on average. The stock has increased 46.6% in the past year. The Zacks Consensus Estimate for DDI’s 2024 sales and earnings per share (EPS) indicates an increase of 12.6% and 15.8%, respectively, from the year-ago levels.

Norwegian Cruise Line Holdings Ltd. (NCLH - Free Report) currently flaunts a Zacks Rank of 1. NCLH has a trailing four-quarter earnings surprise of 5.7%, on average. The stock has moved up 14% in the past year.

The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates an increase of 9.8% and 125.7%, respectively, from the year-ago levels.

Royal Caribbean Cruises Ltd. (RCL - Free Report) currently carries a Zacks Rank #2 (Buy). RCL has a trailing four-quarter earnings surprise of 18.5%, on average. The stock has gained 71.3% in the past year.

The Zacks Consensus Estimate for RCL’s 2024 sales and EPS indicates growth of 18.1% and 71.2%, respectively, from the year-ago levels.

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