Hotel stocks overpriced -Barron’s

NEW YORK, May 9 (BestGrowthStock) – Hotel stocks may be overpriced
considering that the industry is only just emerging from one of
its worst slumps ever and are vulnerable to any faltering of
the economy, Barron’s said in its May 10 edition.

Barron’s pointed to Starwood Hotels and Resorts (HOT.N: ),
saying its $47 share price was high at 52 times projected 2010
earnings, and Hyatt Hotels (H.N: ), whose shares have risen to
about $40 from $25 when it went public last autumn, despite
expectations it will lose money this year.

The financial weekly also questioned Host Hotels’ (HST.N: )
ability to generate cash flow this year and said Marriott
International’s (MAR.N: ) shares could be overpriced.

Barron’s said it may be time for investors to unload shares
in the sector.

Stock Investing

(Reporting by Phil Wahba; editing by Gunna Dickson)

Hotel stocks overpriced -Barron’s