Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - Oppenheimer has lowered its price target on RLJ Lodging Trust (NYSE:RLJ) to $10.00 from $11.00 while maintaining an Outperform rating on the hotel real estate investment trust stock. The stock currently trades at $7.03, with InvestingPro analysis indicating potential undervaluation based on its Fair Value model.
The firm cited recent negative impacts on RLJ’s revenue per available room (RevPAR) performance, which it attributed to temporary factors including renovations and the closure of the Austin convention center.
Oppenheimer expressed confidence that these challenges should reverse next year, positioning the company for improved performance in 2026.
The research firm highlighted RLJ’s urban property exposure and recent hotel conversions as positive factors that strengthen the company’s market position.
Oppenheimer also noted that RLJ maintains "substantial financial flexibility," which it views as advantageous amid the current volatile macroeconomic environment.
In other recent news, RLJ Lodging Trust announced its financial results for the second quarter of 2025, reporting an earnings per share (EPS) that exceeded expectations. The company achieved an EPS of $0.15, surpassing the anticipated $0.11 by 36.36%. Despite this positive earnings performance, RLJ Lodging Trust experienced a slight shortfall in revenue, recording $363.1 million against the forecasted $364.62 million. These developments indicate a mixed financial performance for the quarter. There were no updates regarding mergers or acquisitions. Analyst firms have not provided recent upgrades or downgrades for RLJ Lodging Trust. The company’s stock price movements were noted following the earnings release, but these are not the focus here. These recent developments provide a snapshot of RLJ Lodging Trust’s financial standing.
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