NYSE
CHH
Last Price
US $104.57
KEY FIGURES
MKT CAP
$4.8B
EPS
TTM
$7.26
EPS Growth (1Y)
27.42%
PEG
TTM
0.34x
P/E
TTM
14.40x
P/S
TTM
2.92x
YIELD
1.10%
GROWTH (5Y CAGR)
Revenue
15.58%
EBITDA
Cash Flow (DCF)
Fair Value
Market $104.57
-97.37%
Default assumptions
EBITDA Multiple
Fair Value
Market $104.57
-47.72%
Default assumptions
Valuation
Financial
Performance
Cash flow to debt coverage
Choice Hotels International, Inc. cash flow to debt ratio of 12.69% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Free cash flow growth
Choice Hotels International, Inc.'s free cash flow has decreased 28.18% from $173.55M last year to $124.65M, signaling decreasing performance
Debt-to-equity ratio
Choice Hotels International, Inc.'s debt to equity ratio is 14.82, which means that the company's assets are unhealthy financed, signaling financial risk.
Debt-to-equity trend
Choice Hotels International, Inc.'s debt has increased relative to shareholder equity from -41.69 last year to 14.82 today, signaling weakened financials
Net debt to EBITDA
Choice Hotels International, Inc. has a net debt to EBITDA ratio of 3.16x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Interest coverage
Choice Hotels International, Inc.'s interest coverage ratio of 4.32 indicates that earnings with good margin can cover interest payments on company debt
Profit margin growth
Choice Hotels International, Inc.'s profit margin has increased (7.18%) in the last year from 18.91% to 20.27%, signaling increasing performance
Current ratio
Choice Hotels International, Inc.'s short-term liabilities of $467.29M exceed its short-term assets of $406.00M, signaling financial risk
Return on assets
Choice Hotels International, Inc.'s return on assets of 10.98% is higher than the 5.00% threshold, indicating efficient asset utilization
Return on equity
Choice Hotels International, Inc.'s return on equity of 214.91%, is higher than 15.00%, indicating good performance
Earnings quality
Choice Hotels International, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation
Earnings stability
Choice Hotels International, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings
Positive free cash flow
Choice Hotels International, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Free cash flow yield
Choice Hotels International, Inc. has a free cash flow yield of 2.67%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Earnings growth
Choice Hotels International, Inc.'s yearly earnings has increased 23.45% since last year from $299.67M to $369.95M, signaling increasing performance
Revenue growth
Choice Hotels International, Inc.'s yearly revenue has increased 0.75% since last year from $1.58B to $1.60B, signaling increasing performance
Return on invested capital
ROIC 13.26% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
3-year revenue CAGR
Choice Hotels International, Inc.'s 3-year revenue CAGR of 4.43% is positive, indicating growing revenue over the past 3 years
Revenue consistency
Choice Hotels International, Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance
Return on equity consistency
Choice Hotels International, Inc. had positive ROE in 4 out of 5 years, indicating consistent and reliable returns on equity
Cash Flow Valuation (DCF)
Choice Hotels International, Inc. is overvalued relative to its fair value price of 2.75 based on Discounted Cash Flow model
Earnings yield (TTM)
Choice Hotels International, Inc. has an earnings yield of 7.07%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
EBITDA Valuation
Choice Hotels International, Inc. is overvalued relative to its fair value price of 54.67 based on EBITDA multiple model
EV/EBITDA (FY)
Choice Hotels International, Inc. has an EV/EBITDA ratio of 10.25x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
PEG ratio (TTM/FY)
Choice Hotels International, Inc. has a PEG-ratio under 1 which is considered undervalued
Price-to-book ratio (FY)
Choice Hotels International, Inc. has a price-to-book ratio of 32.66x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Price-to-sales ratio (TTM)
Choice Hotels International, Inc. has a price-to-sales ratio of 2.87x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
214.91%
Return on equity
ROIC: 13.26%
Valuation History
14.7X
Price to Earnings
EV/EBITDA: 11.3X
Cash flow
Profit margin
34.37%
Cash flow
10.67%
Base valuations use default assumptions. Customize in the Valuator.