IHG Price Target Update: Goldman Sachs Raises, Bernstein Cuts

Goldman Sachs analysts raised the price target for InterContinental Hotels Group (LSE:IHG) to $188, while Bernstein set it at $154, in two concurrent updates that reflect a divergence among analysts on the company's growth outlook.

Recommendation Change

• Goldman Sachs: Raised price target from an undisclosed previous level to $188.
• Bernstein: Set a price target at $154.

Analyst Rationale

Goldman Sachs sees IHG benefiting from net unit growth and an expanding pipeline, which bolsters revenue expectations. In contrast, Bernstein prefers other hotel stocks for the next phase of the economic cycle, citing different investment preferences.

Context

The updates come as investors await Q2 results, amid mixed performance in the hospitality sector. IHG shares currently trade near $170, with limited volatility.

What to Make of It

The divergent analyst recommendations reflect uncertainty about the growth trajectory in the hotel sector, warranting close attention to quarterly data and forward guidance.