MARKET TALK: SocGen Increases InterContinental Price Target

15th Jun 2010 12:12

1112 GMT [Dow Jones] Societe Generale increases InterContinental Hotels Group (IHG.LN) price target to 1060p from 880p. Nudges up its revenues per available room (RevPAR) assumptions following Starwood Hotels' (HOT)- rated hold -comments and Marriott International's (MAR)- rated buy - bullish guidance on the U.S. market last week. SocGen now anticipates 2% RevPAR growth in the U.S. in '10, versus a forecast of a 1% decline previously. Also sees a far more favorable USD/GBP exchange rate. But says InterContinental still trades at a significant premium to its European peers, which more than prices in the short-term growth prospects. Keeps at sell. Shares +3.3% at 1236p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 15, 2010 07:12 ET (11:12 GMT)