Bernstein Names Top European Hotel Stocks for 2026

Key Highlights

Bernstein analysts have identified top European hotel stocks with significant growth potential for 2026. After a challenging 2025, the firm highlights compelling entry points for high-quality companies, with Compass Group, Accor, and Cirsa leading their recommendations.

Market Overview

European hotel stocks underperformed the broader market in 2025, largely due to geopolitical turbulence. Bernstein's latest analysis suggests a brighter outlook for the coming year, indicating that selective investment opportunities have emerged ahead of an anticipated sector recovery.

Analyst Upgrades and Targets

Compass Group is named Bernstein’s top pick in the European leisure sector, praised for its resilience and long-term growth story. The company recently reported 8.6% organic revenue growth for Q3 2025.

Accor received a vote of confidence with a target price increase to €56.6 from €52.4, reflecting strong growth expectations. Cirsa's target was modestly raised to €20.8 following successful debt refinancing efforts which improved its financial standing.

Conclusion

While the European leisure sector faced headwinds, Bernstein's analysis points to a strategic recovery in 2026. The highlighted companies represent high-conviction plays for investors looking to position themselves for future growth in the European hotel industry.

FAQ

Q: Which company is Bernstein's top European leisure pick for 2026?
A: Compass Group is Bernstein's top selection, cited for its compelling growth story and resilience.

Q: Why was Accor's price target increased?
A: Accor's target price was raised based on a forward model roll and higher peer valuations, signaling strong growth expectations.

Source: Investing.com