Deutsche Bank analyst Carlo Santarelli says he's becoming "incrementally more concerned" regarding Lodging industry fundamentals in the second half of 2017. Trends thus far in the quarter have been soft, but low expectations have allowed the stocks to hang in, Santarelli tells investors in a research note. He thinks investor patience could wane in the second half of 2017 should current trends persist and policy agenda items like corporate tax amendments and healthcare reform continue to linger. The analyst has a Buy rating on Hilton (HLT) and Hold ratings on Choice Hotels (CHH), Hyatt (H) and Marriott (MAR).

Mizuho lowered the firm's price target on Marriott to $260 from $263 and keeps a Neutral rating on the shares. The analyst cites a more conservative view on RevPAR ahead of the Q1 report for the target drop. RevPAR trends have been slightly weaker than previously modeled, primarily in the United States, the analyst tells investors in a research note.