Sectors & IndustriesReal EstateREIT - Hotel & Motel

Best Hotel & Motel REIT Stocks to Buy Now (2023)

Top hotel & motel reit stocks in 2023 ranked by overall Zen Score. See the best hotel & motel reit stocks to buy now, according to analyst forecasts for the reit - hotel & motel industry.

According to Zen Score, the 3 best hotel & motel reit stocks to buy right now are:

Host Hotels & Resorts (NYSE:HST) is the top hotel & motel reit stock with a Zen Score of 51, which is 23 points higher than the hotel & motel reit industry average of 28. It passed 19 out of 38 due diligence checks and has strong fundamentals. Host Hotels & Resorts has seen its stock lose -19.47% over the past year, overperforming other hotel & motel reit stocks by 3 percentage points.

Host Hotels & Resorts has an average 1 year price target of $21.50, an upside of 42.76% from Host Hotels & Resorts's current stock price of $15.06.

Host Hotels & Resorts stock has a consensus Buy recommendation according to Wall Street analysts. Of the 12 analysts covering Host Hotels & Resorts, 41.67% have issued a Strong Buy rating, 16.67% have issued a Buy, 41.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Apple Hospitality Reit (NYSE:APLE) is the second best hotel & motel reit stock with a Zen Score of 40, which is 12 points higher than the hotel & motel reit industry average of 28. It passed 15 out of 38 due diligence checks and has average fundamentals. Apple Hospitality Reit has seen its stock lose -20.52% over the past year, overperforming other hotel & motel reit stocks by 2 percentage points.

Apple Hospitality Reit has an average 1 year price target of $19.20, an upside of 36.56% from Apple Hospitality Reit's current stock price of $14.06.

Apple Hospitality Reit stock has a consensus Buy recommendation according to Wall Street analysts. Of the 5 analysts covering Apple Hospitality Reit, 40% have issued a Strong Buy rating, 20% have issued a Buy, 40% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Hersha Hospitality Trust (NYSE:HT) is the third best hotel & motel reit stock with a Zen Score of 38, which is 10 points higher than the hotel & motel reit industry average of 28. It passed 13 out of 38 due diligence checks and has average fundamentals. Hersha Hospitality Trust has seen its stock lose -32.55% over the past year, underperforming other hotel & motel reit stocks by -10 percentage points.

Hersha Hospitality Trust has an average 1 year price target of $10.88, an upside of 80.35% from Hersha Hospitality Trust's current stock price of $6.03.

Hersha Hospitality Trust stock has a consensus Hold recommendation according to Wall Street analysts. Of the 4 analysts covering Hersha Hospitality Trust, 25% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 25% have issued a Strong Sell.

Out of 16 hotel & motel reit stocks that have issued dividends in the past year, the 3 hotel & motel reit stocks with the highest dividend yields are:

Hersha Hospitality Trust (NYSE:HT) has an annual dividend yield of 9.95%, which is 7 percentage points higher than the hotel & motel reit industry average of 2.74%. Hersha Hospitality Trust's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Hersha Hospitality Trust's dividend has shown consistent growth over the last 10 years.

Hersha Hospitality Trust's dividend payout ratio of 19.5% indicates that its high dividend yield is sustainable for the long-term.

Apple Hospitality Reit (NYSE:APLE) has an annual dividend yield of 6.19%, which is 3 percentage points higher than the hotel & motel reit industry average of 2.74%. Apple Hospitality Reit's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Apple Hospitality Reit's dividend has not shown consistent growth over the last 10 years.

Apple Hospitality Reit's dividend payout ratio of 133.3% indicates that its high dividend yield might not be sustainable for the long-term.

Four Corners Property Trust (NYSE:FCPT) has an annual dividend yield of 5.13%, which is 2 percentage points higher than the hotel & motel reit industry average of 2.74%. Four Corners Property Trust's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Four Corners Property Trust's dividend has shown consistent growth over the last 10 years.

Four Corners Property Trust's dividend payout ratio of 111.5% indicates that its high dividend yield might not be sustainable for the long-term.

Hotel & motel reit stocks were up 1.39% in the last day, and down -3.64% over the last week.

We couldn't find a catalyst for why hotel & motel reit stocks are up.

Based on WallStreetZen's Valuation Score, the 3 most undervalued hotel & motel reit stocks right now are:

Diamondrock Hospitality Co (NYSE:DRH) is the most undervalued hotel & motel reit stock based on WallStreetZen's Valuation Score. Diamondrock Hospitality Co has a valuation score of 71, which is 33 points higher than the hotel & motel reit industry average of 38. It passed 5 out of 7 valuation due diligence checks.

Diamondrock Hospitality Co's stock has dropped -24.41% in the past year. It has underperformed other stocks in the hotel & motel reit industry by -2 percentage points.

Sotherly Hotels (NASDAQ:SOHO) is the second most undervalued hotel & motel reit stock based on WallStreetZen's Valuation Score. Sotherly Hotels has a valuation score of 71, which is 33 points higher than the hotel & motel reit industry average of 38. It passed 5 out of 7 valuation due diligence checks.

Sotherly Hotels's stock has dropped -7.87% in the past year. It has overperformed other stocks in the hotel & motel reit industry by 14 percentage points.

Park Hotels & Resorts (NYSE:PK) is the third most undervalued hotel & motel reit stock based on WallStreetZen's Valuation Score. Park Hotels & Resorts has a valuation score of 71, which is 33 points higher than the hotel & motel reit industry average of 38. It passed 5 out of 7 valuation due diligence checks.

Park Hotels & Resorts's stock has dropped -39.88% in the past year. It has underperformed other stocks in the hotel & motel reit industry by -18 percentage points.