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Which hotel for proletarian investor? Clairon (Choice Hotels International [CHH]), Ritz-Carlton (Marriot [MAR]), Sofitel [AC] Holidayinn (International Hotel Group [IHG]) or Starwood Hotels & Resorts Worldwide Inc.’s (HOT) July 20, 2009

Posted by deminvest in Hilton, HLT, International Hotel Group.
1 comment so far

As traveler, I can’t have any doubt… Ritz Carlton are too expensive for me. But Investing is a little bit like dreaming…

Which hotel for proletarian investor? Ritz-Carlton (Marriot [MAR]),  Clairon (Choice Hotels International [CHH]), Sofitel (AC in Paris),  Holiday Inn (International Hotel Group [IHG]) or Starwood Hotels & Resorts Worldwide Inc.’s (HOT)?

I restricted my choice to the two main:

  • Ritz-Carlton (Marriot [MAR]) and
  • Holiday Inn (International Hotel Group [IHG])

Ritz Carlton (Marriot [MAR]) owns more hotels directly. Holiday Inn (International Hotel Group [IHG]) is mainly a Franchise. IHG  owns less properties, but is larger in terms of Band.

I chose Holiday Inn (International Hotel Group [IHG])  because owning less properties is better with curent real estate  market. Also a frnchise has more money yielding contracts and less direct expenses.

Last, but not least,  dividends:

$0.24 per share yield an honest 2.5%.

I got 90 IHG shares at USD 10.45 each spending a total amount of $ 940.50 + $4.50 commissions