Hyatt Hotels (H) shares ended the last trading session 4.9% higher at $166.34. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 4.1% gain over the past four weeks.

Hyatt Hotels' rally is buoyed by optimism regarding its ongoing discussions with Playa Hotels & Resorts. On Feb. 3, 2025, the company announced an extension of its exclusivity agreement with Playa, allowing more time to explore potential strategic alternatives, including a possible acquisition of the latter. The exclusivity period is now extended through Feb. 10, keeping investors focused on the deal’s potential outcome.

This hotel operator is expected to post quarterly earnings of $0.64 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $1.63 billion, down 1.7% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Hyatt Hotels, the consensus EPS estimate for the quarter has been revised 0.7% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on H going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Hyatt Hotels belongs to the Zacks Hotels and Motels industry. Another stock from the same industry, Wyndham Hotels (WH), closed the last trading session 1.4% higher at $107.58. Over the past month, WH has returned 7.1%.

Wyndham's consensus EPS estimate for the upcoming report has changed +0.2% over the past month to $1. Compared to the company's year-ago EPS, this represents a change of +9.9%. Wyndham currently boasts a Zacks Rank of #2 (Buy).

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