Lodging Industry - Positioned for a goal-den quarter

Research evidence excerpt

Lodging Industry - Positioned for a goal-den quarter

Macquarie Equity Research

14 July 2026

Consumer Services

Lodging Industry - Positioned for a goal- United States

den quarter

2Q26 Preview Chad Aaron

Beynon Lee

Key Points

• Prelim June 2026 US RevPAR growth accelerated to 8.7% driven by Sam

World Cup demand and solid overall leisure travel. Ghafir, CFA

• This brings 2Q26E US RevPAR growth to ~5.7% YoY.

• In this environment, we continue to favor Hyatt given its exposure to

Luxury/Upper Upscale. Total US RevPAR % Chg (YoY)

Prelim June 2026 US RevPAR grew 8.7% comprised of 6.8% ADR and 1.7%

occupancy. This represented a notable acceleration from prior April and

May growth trends of 4.4% and 4.0%, respectively, which we attribute to

World Cup demand and solid overall leisure travel. All chainscales showed

growth but, similar to prior trends, growth remains most pronounced at the

top end with Luxury leading at ~16% RevPAR growth and Upper Upscale at

~9% and performance degrading going down the chainscales. We believe

this represents an ongoing trend of higher end outperformance as well as

impact from the premium-positioned World Cup. Looking at World Cup Source: STR, Macquarie Research, July 2026

impact across the top 25 markets, RevPAR growth for FIFA host cities was Macq. estimates vs consensus

13% compared to non-host cities of 7%.

We estimate 2Q26E US RevPAR growth of ~5.7% YoY. This implies

an acceleration from 1Q26 (~3.8%) and, more importantly, continued

outperformance vs prior industry guidance of +2-3% systemwide from

MAR and HLT. For the quarter, there was fairly large bifurcation among

the chainscales with Luxury leading at ~10.6% RevPAR growth and Upper

Upscale down to Midscale at mid to low-single digit growth. At 1Q26