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Choice Hotels International, Inc. is listed on the NYSE under the ticker symbol CHH.
The company operates a portfolio of over 6,900 hotels across more than 40 countries.
Choice Hotels has a significant presence in the US, with over 4,000 hotels across the country.
Its brands include Comfort Inn, Comfort Suites, Quality Inn, and Econo Lodge, among others.
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Stock Performance
Choice Hotels stock has seen significant growth over the years, with a 1,678.24% increase in share price since its IPO.
The company's revenue has also been on the rise, with a 12.34% increase in 2023 compared to the previous year.
Choice Hotels' earnings, however, took a hit in 2023, with a decrease of 22.15% compared to the previous year.
Let's take a look at the company's stock performance over the past few years:
These numbers give us a sense of the company's overall performance and growth potential.
Investor Insights
BofA Securities recently adjusted their price target for Choice Hotels International to $165 from $160. This is a significant increase, indicating potential growth in the company's stock value.
Morgan Stanley, on the other hand, downgraded Choice Hotels International to Underweight from Equalweight, adjusting their price target to $131 from $145. This suggests a more cautious outlook for the company's performance.
UBS adjusted their price target for Choice Hotels International to $154 from $125, while maintaining a Neutral rating. This indicates a moderate level of confidence in the company's future prospects.
Here's a summary of the recent analyst recommendations for Choice Hotels International:
Truist Securities also raised their price target on Choice Hotels International to $136 from $134, while maintaining a Hold rating. This suggests a relatively stable outlook for the company's stock value.
Company News
Choice Hotels International, the parent company of Choice Hotels stock, has a long history of innovation and growth. The company was founded in 1939 by S. C. "Sandy" Siegler.
Choice Hotels International has a portfolio of over 6,900 hotels worldwide, including brands such as Comfort Inn, Quality Inn, and Econo Lodge. These brands are recognized globally for their quality and affordability.
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In 2020, Choice Hotels International reported a revenue of $1.3 billion, a significant increase from the previous year. This growth can be attributed to the company's strategic expansion into new markets.
Choice Hotels International has a strong presence in the United States, with over 4,000 hotels across the country. The company's brands are popular among travelers due to their consistency and reliability.
Earnings and Guidance
Choice Hotels' Q3 2024 non-GAAP adjusted EPS rose by +22.5% YoY.
This significant increase was largely due to the expansion of royalty rates and a higher number of hotel rooms.
The company exceeded the consensus estimate by +16.6%, demonstrating a strong financial performance.
Choice Hotels International, Inc. raised its full-year guidance, indicating continued growth and confidence in the company's prospects.
The company's economy extended stay portfolio is growing at a rapid pace, making it a leader in the industry.
Booking and Options
You can redeem points at over 7,000 hotels worldwide, including luxury and upscale options like Radisson, Radisson Blu, and Cambria Hotels.
Choice Hotels has made a significant investment in its Radisson Hotels Americas brands since acquiring them in 2022.
Members can choose from a wide range of hotels, with over 1,000 luxury and upscale hotels to consider.
The Choice Privileges program is introducing a longer booking window, giving members more time to plan their trips.
Choice Hotels has partnered with various brands, including Radisson, Radisson Blu, and Cambria Hotels, to offer more redemption options.
Valuation and Growth
Choice Hotels' valuation metrics are a mixed bag. The company's price/earnings (normalized) ratio is 22.26, which is lower than IHG's 30.78.
The price/sales ratio for Choice Hotels is 4.74, slightly higher than IHG's 4.69, but lower than MAR's 3.42. This suggests that Choice Hotels may be a more expensive option compared to its peers.
Here's a quick comparison of the valuation metrics for CHH, IHG, and MAR:
Choice Hotels' growth prospects are also worth considering. The company's 3-year revenue growth rate is 29.8%, which is impressive. However, its future 3-5 year EPS without NRI growth rate estimate is 7.47%, which is relatively low.
Valuation
Valuation is a crucial aspect of assessing a company's worth. Companies like CHH, IHG, and MAR have varying valuation metrics.
Their Price/Earnings (Normalized) ratios are 22.26, 30.78, and 27.95 respectively. This indicates how much investors are willing to pay for each dollar of earnings.
The Price/Sales ratio is another important metric, with CHH and IHG having ratios of 4.74 and 4.69, while MAR has a ratio of 3.42. This shows how much investors are paying for each dollar of sales.
Here's a comparison of the companies' valuation metrics:
These ratios can help investors make informed decisions about which companies to invest in.
Growth Rank
Growth Rank is a crucial aspect of evaluating a company's performance. A 3-Year Revenue Growth Rate of 29.8 indicates a significant increase in revenue over the past three years.
To put this growth into perspective, the company's 3-Year EBITDA Growth Rate is an impressive 51.4, suggesting that its earnings before interest, taxes, depreciation, and amortization have grown even faster than its revenue.
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Let's take a closer look at the company's growth metrics:
These growth metrics provide a comprehensive view of the company's performance over the past three years and its projected growth over the next three to five years.
Frequently Asked Questions
What is the stock symbol for Comfort Inn?
The stock symbol for Comfort Inn is CHH, which is owned by Choice Hotels International Inc.
How big is Choice Hotels?
Choice Hotels is a large global hospitality company with over 7,000 hotels and nearly 570,000 rooms across more than 40 countries and territories. With such a vast network, Choice Hotels offers a wide range of accommodations to suit various travelers' needs.
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