RLJ Lodging Trust (RLJ) saw its stock price soar 5.08% in pre-market trading on Wednesday, following a significant upgrade from Raymond James. The real estate investment trust, which focuses on premium-branded hotels, is attracting investor attention amid improving sentiment in the hospitality sector.
Raymond James analyst RJ Milligan double upgraded RLJ Lodging Trust from Market Perform to Strong Buy, setting a price target of $9.00. This represents a substantial vote of confidence in the company's prospects. Milligan's bullish stance appears to be driven by a perception of undervaluation and a positive outlook for the company in 2026.
The upgrade comes at a time when RLJ Lodging Trust had an average rating of "hold" and a mean price target of $8.64, according to analysts polled by FactSet. Raymond James' more optimistic view suggests potential upside that the market may not have fully priced in. Investors will be watching closely to see if this upgrade catalyzes further positive momentum for RLJ Lodging Trust in the coming trading sessions.