Outlook keeps brightening for these leaders

Article Excerpt

The coronavirus pandemic forced the cancellation of most vacation plans. However, the reopening of the economy has spurred strong demand for travel, and both Wyndham and Travel + Leisure should benefit from that continued strength. We see each as a buy. WYNDHAM HOTELS & RESORTS, $111.77, is a buy. The company (New York symbol WH; TSINetwork Rating: Extra Risk) (www.wyndhamhotels.com; Shares outstanding: 77.7 million; Market cap: $8.7 billion; Dividend yield: 1.4%) is the world’s largest hotel franchiser, with 893,000 rooms spread across 9,200 hotels, with 25 brands in 95 countries. Wyndham Hotels’ revenue in the three months ended December 31, 2024, rose 6.2%, to $341 million from $321 million a year earlier. Earnings, excluding one-time items, rose 9.3%, to $82 million from $75 million. Per-share earnings increased 14.3%, to $1.04 from $0.91, on fewer shares outstanding. With the March 2025 payment, Wyndham is raising your quarterly dividend by 7.9%, to $0.41 a share from $0.38. The new annual rate of $1.64 yields 1.4%. For all of 2024, the…