Morningstar

Will Hyatt Really Leave Expedia?

Hyatt needs Expedia's network more than the online travel agency needs the hotelier's room supply.

Securities In This Article
Hyatt Hotels Corp Class A
(H)

We think it is unlikely no-moat

We believe Hyatt needs Expedia’s network more than the OTA company needs the hotelier’s room supply. We calculate Expedia generates nearly 10% of Hyatt’s room nights, while the hotelier was roughly 2% of the OTA’s total room nights. Additionally, traffic to Expedia’s website was 59.4 million this past May versus just 7.1 million that toured Hyatt’s online platform, according to SimilarWeb. Further, supporting Expedia’s scale, it counted 385,000 properties on its website during the first quarter of 2017, compared with only 708 for Hyatt.

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About the Author

Dan Wasiolek

Senior Equity Analyst
More from Author

Dan Wasiolek is a senior equity analyst, AM Consumer, for Morningstar*. He covers gaming, lodging, and online travel. Names covered within the gaming industry are Wynn Resorts, Las Vegas Sands, MGM Resorts, Caesars Entertainment, Penn Entertainment, and DraftKings. In the hotel industry Dan covers Marriott, Hilton, InterContinental, Hyatt, Wyndham, Choice, and Accor. Other travel related names under his coverage are Booking Holdings, Expedia, Airbnb, Tripadvisor, Sabre, and Amadeus.

Before joining Morningstar in 2014, Wasiolek spent 16 years as an analyst and portfolio manager covering US mid- and large-cap strategies for Driehaus Capital Management. During the first half of his time at Driehaus, Dan’s responsibilities as an analyst included analyzing and recommending stocks across all sectors and industries for inclusive in the portfolios. Then in the second half of his tenure at Driehaus, Dan was responsible for stock selection and portfolio management of the US mid- and large-cap strategies, as well as co-managing in-house smaller-cap portfolios.

Wasiolek holds a bachelor’s degree in business administration from Illinois Wesleyan University and a master’s degree in business administration, with a concentration in finance, from the DePaul University Kellstadt School of Business.

* Morningstar Research Services LLC (“Morningstar”) is a wholly owned subsidiary of Morningstar, Inc

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