(News Bulletin 247) – Accor started Tuesday’s session sharply higher following the raising of the recommendation of Morgan Stanley, which considers the French group to be a major beneficiary of the trend towards the rise of the luxury hotel industry.
Around 10:40 am, the title gained 1.5% while the CAC 40 index rose at the same time by 0.8%.
In a sector note, Morgan Stanley this morning raised its opinion on the value of ‘online weighting’ to ‘overweight’, with a price target raised from 35 to 37 euros.
The American bank believes that Accor should be a ‘key’ winner in the development of the so-called ‘Luxury & Lifestyle’ market, a segment which it considers for the moment poorly defined and underestimated by investors.
But Morgan Stanley estimates that this market – which represents only 4% of rooms today – should eventually generate nearly 20% of the market thanks to the strength of its average revenue per available room (RevPAR).
From this point of view, the New York firm believes that Accor is particularly well placed to benefit from this transformation, since its luxury and lifestyle activities are expected to represent, in the long term, more than 30% of its turnover.
Copyright (c) 2023 News Bulletin 247. All rights reserved.
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
