Hilton's Global Portfolio Is Resonating With Travelers and Owners

Hilton’s brand intangible asset (which underlies its wide moat rating) is strengthening, aided by its strong upper scale and luxury presence, which is set to expand by several hundred hotels with its February 2024 Small Luxury Hotels partnership. This higher-end price point prowess is augmented by emerging midscale (Spark brand launched in 2023) and extended-stay offerings (LivSmart also released in 2023). In fact, both Hilton's premium economy/midscale brand Spark and extended-stay concept LivSmart already have a few hundred partners in negotiation to join the company's portfolio. Long term, Spark has the potential to reach a few thousands units, offering an attractive unit growth catalyst for the company.