Why This Hotel Stock Is Up 11% in 2020
Few industries have been hit as hard during the coronavirus pandemic as hotels, with travel basically drying up or slowing immensely for the foreseeable future.
Many of the large hotel chains have been forced to close hotels, furlough workers, impose layoffs, and cut salaries to navigate the storm. Stock prices have plummeted 30% to 40% -- and higher -- for most in the industry. But one hotel company has bucked the trend -- GreenTree Hospitality Group (NYSE: GHG). The stock is up about 11% this year, as of Monday's close. Here's why.
GreenTree Hospitality is a hotel company based in Shanghai, China, that launched in 2004. It owns the GreenTree Inn hotel brand, which is an eco-friendly chain mostly in the midscale segment, which falls somewhere between budget and luxury. It has close to 4,000 locations around the world, with the vast majority of them in China. In 2015, the company expanded to the United States and now has 18 GreenTree Inns in the U.S. There are eight in Arizona; three in Colorado; two each in California, Texas, and New Mexico; and one in Missouri.
Source Fool.com
