NEW YORK Bear Stearns Senior Managing Director and Lodging Analyst Jason Ader, in response to growing weakness in the U.S. economy, downgraded the lodging sector. Citing a clear correlation between the economy and the lodging industry, Ader lowered his rating on six prominent lodging stocks.
Ader notes that while an economic slowdown has already been incorporated into some of the stock prices, he believes the downturn could be worse than anticipated. In addition, further speculation that the risk of a recession is increasing will further depress the sector.
Specifically, Ader downgraded the following stocks: