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    Does Stronger-Than-Industry RevPAR and Occupancy Change The Bull Case For Apple Hospitality REIT (APLE)?

    Simply Wall St·12/09/2025 11:14:52
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    • On December 8, 2025, Apple Hospitality REIT released an updated investor presentation showing November and third-quarter hotel metrics that outpaced broader industry averages, supported by a portfolio of 216 upscale, rooms-focused hotels across 37 U.S. states and a flexible balance sheet.
    • The presentation’s emphasis on stronger-than-industry RevPAR and occupancy highlights how Apple Hospitality’s operating model and asset mix may be supporting relative performance in a challenging lodging landscape.
    • Now, we’ll examine how this stronger-than-industry RevPAR and occupancy update might reshape Apple Hospitality REIT’s existing investment narrative.

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    Apple Hospitality REIT Investment Narrative Recap

    To own Apple Hospitality REIT, you need to believe in the resilience of U.S. travel demand, the durability of its rooms-focused hotel portfolio, and its ability to manage a relatively high debt load. The updated November and third quarter RevPAR and occupancy metrics, which exceeded industry averages, support the near term catalyst of operational outperformance, but they do not materially change the key risk around balance sheet flexibility if conditions soften.

    The steady stream of monthly US$0.08 per share distributions through late 2025 sits alongside this operating update, reinforcing how management is currently aligning cash returns with hotel performance. For investors, the tension between maintaining that income profile and managing high leverage is likely to remain central when weighing the impact of stronger-than-industry RevPAR and occupancy on the overall thesis.

    Yet investors should also be aware that if debt costs rise or access to refinancing tightens, the room for error in Apple Hospitality's capital structure...

    Read the full narrative on Apple Hospitality REIT (it's free!)

    Apple Hospitality REIT's narrative projects $1.5 billion revenue and $179.3 million earnings by 2028. This requires 1.7% yearly revenue growth and a $1.7 million earnings decrease from $181.0 million today.

    Uncover how Apple Hospitality REIT's forecasts yield a $13.00 fair value, a 13% upside to its current price.

    Exploring Other Perspectives

    APLE 1-Year Stock Price Chart
    APLE 1-Year Stock Price Chart

    Four members of the Simply Wall St Community currently see Apple Hospitality REIT’s fair value between US$13.00 and about US$16.72 per share, highlighting wide dispersion in expectations. You can weigh those views against the recent RevPAR and occupancy outperformance, which could influence how resilient the business feels if industry conditions become tougher.

    Explore 4 other fair value estimates on Apple Hospitality REIT - why the stock might be worth as much as 46% more than the current price!

    Build Your Own Apple Hospitality REIT Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

    No Opportunity In Apple Hospitality REIT?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.