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Sunstone Hotel upgraded to Outperform from Neutral at Baird

Sunstone Hotel upgraded to Outperform from Neutral at Baird

Baird upgraded Sunstone Hotel to Outperform from Neutral with a price target of $12, up from $11. The analyst believes investors are overly discounting today’s renovation-related disruption, and views the company’s earnings ramp-up and 2025-2026 outlook as attractive and not fully captured in current estimates, which appear too low. The firm wants to get ahead of the shift in investors’ focus – from renovation disruption to “growth tailwinds, a cleaner narrative, and a higher earnings profile.”

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