Daniel Och’s OZ Management Believes The Future Is Sunny For Starwood Hotels & Resorts Worldwide Inc. (HOT)

The supply/demand environment in the leisure and transient travel business has greatly benefited from the gradual recovery in the U.S. economy and in the broader economy in general. The room rates have been on an uptrend recently thanks to the favorable supply/demand environment in the U.S., which will surely boost the revenues of the companies operating in the hotel industry. In addition to that, hoteliers have been attempting to explore growth opportunities abroad, especially in emerging markets, and Starwood is no exception. For instance, Starwood recently announced the debut of its Four Points brand in Indonesia, with the opening of Four Points Bali, Kuta. Four Points Bali, Kuta represents the seventh property of Starwood on the island of Bali. In addition to that, Starwood also announced the opening of the Sheraton Hyderabad Hotel in India, a newly-renovated property intended to benefit from the massive number of business and leisure travelers visiting Hyderabad. These are just a few examples of how Starwood has been constantly seeking to benefit from existing growth opportunities abroad.

Even though the shares of Starwood are down by 1% since the beginning of the current year, the company’s earnings report that is expected to be released on July 30 will shed some light on the future outlook of Starwood. So you can now include the stock in your watchlist, as it might represent a great buying opportunity. Within our database, Doug Silverman and Alexander Klabin’s Senator Investment Group represented the previous largest investor in Starwood Hotels & Resorts Worldwide Inc. (NYSE:HOT), as of March 31, holding 5.65 million shares.

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