InterContinental Resort in Toronto, Ontario, Canada.Roberto Machado Noa | LightRocket | Getty PhotographsIf traders need their finger on the heartb
InterContinental Resort in Toronto, Ontario, Canada.
Roberto Machado Noa | LightRocket | Getty Photographs
If traders need their finger on the heartbeat of the coronavirus risk, they’ll look no additional than InterContinental Hotels Group.
The London-based lodge chain is essentially uncovered to threats to worldwide journey. InterContinental’s Asia Pacific income was down 27% year-over-year in 2003, when the SARS virus swept China.
“IHG is probably the most uncovered of the foremost Western lodge corporations,” AB Bernstein analyst Richard Clarke mentioned in a word to purchasers on Tuesday.
Shares of InterContinental Accommodations fell greater than 4% on Tuesday on fears that the coronavirus outbreak in China would dent worldwide journey.
The outbreak of the new coronavirus in China has killed nine individuals with confirmed circumstances exceeding 400 forward of the Lunar New Yr vacation, throughout which a whole lot of thousands and thousands of persons are anticipated to journey. On Tuesday, the Facilities for Illness Management informed Reuters {that a} traveler from China was diagnosed with the first U.S. case of coronavirus in Seattle.
In 2003, InterContinental Accommodations warned in regards to the affect extreme acute respiratory syndrome or SARS would have on the lodge chain’s revenue. Clarke mentioned the SARS outbreak coincided with the risk and outbreak of the Iraq struggle, which additionally contributed to weak spot in journey.
“Extra encouragingly, the…