CHH Intrinsic Value Calculator – Choice Hotels International Quickly Integrates Radisson Hotels Americas Brands
December 20, 2023
🌥️Trending News
Choice Hotels International ($NYSE:CHH) has recently integrated Radisson Hotels Americas brands to their own. This move is a huge step forward for the company and is expected to have a positive effect on their business. This acquisition not only increases Choice Hotels’ geographic presence, but also enhances its services and amenities. Choice Hotels International is a global hotel franchiser based in Rockville, Maryland. It will also create more opportunities for growth and expansion. The merger will provide customers with more choices when it comes to hotels and offer greater convenience.
Additionally, this move will increase Choice Hotels’ competitive advantage in the hospitality industry. It will increase the global presence of Choice Hotels and provide customers with more options when it comes to hotel accommodations. This move is sure to have a positive effect on the company’s future prospects.
Stock Price
This integration marks a major milestone for the hospitality giant, as it greatly increases its presence in the Americas market. As a result of the announcement, CHOICE HOTELS INTERNATIONAL stock opened at $110.8 and closed at $113.8 on Monday, up by 3.0% from prior closing price of 110.5. This indicates an increase in investor confidence in the company and its ability to successfully integrate new brands into its portfolio. The integration of Radisson Hotels Americas brands will no doubt prove beneficial for CHOICE HOTELS INTERNATIONAL, and with further strategic acquisitions, could help the company further extend its reach in the hospitality industry. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for CHH. More…
| Total Revenues | Net Income | Net Margin |
| 1.55k | 283.48 | 18.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for CHH. More…
| Operations | Investing | Financing |
| 349.05 | -62.03 | -303.67 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for CHH. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.23k | 2.16k | 1.45 |
Key Ratios Snapshot
Some of the financial key ratios for CHH are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 22.2% | 32.2% | 27.8% |
| FCF Margin | ROE | ROA |
| 15.6% | 422.6% | 12.0% |
Analysis – CHH Intrinsic Value Calculator
After conducting our own fundamental analysis, GoodWhale has determined that the intrinsic value of CHOICE HOTELS INTERNATIONAL shares is around $175.9. Our proprietary Valuation Line was used to arrive at this conclusion. Currently, the stock is trading at $113.8, resulting in a 35.3% undervaluation of the company’s shares. This makes CHOICE HOTELS INTERNATIONAL a good investment option for those looking to add value to their portfolios. More…
Peers
Choice Hotels International, Inc. is one of the world’s largest hotel companies. With over 6,300 hotels across more than 35 countries and territories, Choice Hotels International offers a wide variety of lodging options to suit any need. Wyndham Hotels & Resorts, Hilton Worldwide Holdings, and Marriott International are all major competitors in the hotel industry.
– Wyndham Hotels & Resorts Inc ($NYSE:WH)
Wyndham Hotels & Resorts Inc is one of the largest hotel companies in the world, with over 7,500 hotels across more than 80 countries. The company offers a wide range of hotel brands, from economy to luxury, and its portfolio includes some of the most well-known hotel brands in the world, such as Wyndham, Ramada, Days Inn, and Super 8. Wyndham Hotels & Resorts is headquartered in Parsippany, New Jersey.
The company’s market cap is 6.2B as of 2022 and its ROE is 30.65%.
– Hilton Worldwide Holdings Inc ($NYSE:HLT)
Hilton Worldwide Holdings Inc. is a hospitality company that owns, leases, manages, develops, and franchises hotels and resorts. The company operates in three segments: Owned and Leased Hotels, Management and Franchise, and Timeshare. As of December 31, 2020, it owned, leased, or managed 2,084 properties with 883,944 rooms. Hilton Worldwide Holdings Inc. was founded in 1919 and is headquartered in McLean, Virginia.
– Marriott International Inc ($NASDAQ:MAR)
Marriott International is one of the world’s largest hotel companies, with more than 6,000 properties in over 120 countries and territories. Marriott operates and franchises hotels and timeshare properties under 30 brands, including Marriott, Ritz-Carlton, Sheraton, and Westin. The company also has a vacation ownership division, Marriott Vacations Worldwide. Marriott was founded in 1927 by J. Willard Marriott and Frank J. Taylor.
Summary
Investing in Choice Hotels International (CHH) can provide investors with a solid return due to the company’s recent success in rapidly integrating the Radisson Hotels Americas brands. This increased the company’s offerings and international reach, prompting a stock price increase on the same day of the announcement.
In addition, CHH offers several dividend plans and has experienced growth in revenue and operating income over the past few years. The company also has plans to expand its hotel portfolio even further, with new properties currently under construction in the United States, Canada, India, and elsewhere. With these factors in mind, investing in CHH can be a viable option for investors looking for long-term returns.
