Hilton Stock Hits All-Time High as CEO Says Business Travel Demand Is Rising

Hilton Worldwide Holdings (HLT) shares hit an all-time high Thursday as executives said the hotel chain has seen an uptick in business demand.

Hilton reported fourth-quarter adjusted earnings per share (EPS) of $1.76, above analysts’ estimates compiled by Visible Alpha. Its comparable revenue per available room (RevPAR), a key metric for hotels, also came in above analysts’ expectations with 3.5% growth year-over-year.

“All segments drove RevPAR outperformance, with strong trends in leisure occupancy, as well as continued growth in business transient and group results, and we expect favorable trends to continue into 2025,” Hilton CEO Christopher Nassetta said in a release.

During the company’s earnings call, Nassetta added that Hilton expects continued improvement in business travel could be “driven by further momentum in large corporates, coupled with steady demand across small- and medium-sized businesses,” according to a transcript provided by AlphaSense.

Nassetta attributed the rise in business demand in part to expectations of greater certainty in the regulatory environment after November’s presidential election.

“If you talk to large, medium, small (businesses), almost without exception, people are broadly saying that they’re going to travel more,” Nassetta said. “And they broadly understand that they’re going to pay more for their travel because they understand that the environment they’re living in. And so, I do think that bodes well for business transient recovery.” 

Shares were up over 5% to about $271 Thursday afternoon, on track to close at an all-time high after setting an intraday record at $273.78. They have gained almost 40% over the past year.