Host Hotels sees improving US lodging market fundamentals supported by job growth acceleration and rise in business sentiment. This tendency allowed the company to report strong financials for the third quarter of 2014, with revenues up 7% and adjusted EBITDA up 23%. Comparable hotel Revenue per Available Room (RevPAR) climbed around 8% driven by continued improvement in average room rates and increase in occupancy. Host Hotels raise significantly dividend payments, with dividend yield of 3.4%, and increased its full-2014 funds from operations (FFO) guidance. I believe that the company’s strategic portfolio enhancement activities bode well for its long-term growth. Host Hotels has recently been focusing on streamlining the number of markets in which it operates and exploring strategic investment opportunities in gateway cities and urban and resort/conference markets. In relation to that, in October, Host Hotels disclosed the buyout of b2 Miami downtown hotel and selling of Tampa Marriott Waterside Hotel & Marina. The company’s such efforts, amid improving US lodging fundamentals, are expected to drive RevPAR growth going forward. I believe Host Hotels' shares look attractive for meduim-term investment. Target price is $25. $HST, Host Hotels & Resorts, Inc. / 1440