Overview Dividends

(CHH) Choice Hotels International - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US1699051066

Hotel Franchising, Brand Licensing, Property Management

CHH EPS (Earnings per Share)

EPS Growth (3Y CAGR): -55.78%
EPS Trend (3Y Correlation): -26.8%

CHH Revenue

Revenue Growth (3Y CAGR): 1.06%
Revenue Trend (3Y Correlation): 7.6%

Description: CHH Choice Hotels International November 06, 2025

Choice Hotels International (NYSE: CHH) is a global hotel franchisor headquartered in North Bethesda, Maryland, operating two primary segments: Hotel Franchising & Management and Corporate & Other. The company licenses a broad portfolio of mid-scale and upscale brands-including Comfort Inn, Quality, Clarion, Econo Lodge, and the Radisson family-across the United States and more than 40 international markets.

Key performance indicators that investors watch include the franchise-related revenue per available room (RevPAR) growth, which averaged a 4.2% year-over-year increase in Q2 2024, and the same-store occupancy rate, currently hovering around 71%-above the industry median of ~68% for the mid-scale segment. The business model benefits from a low-capital structure: roughly 85% of total revenue is franchise-related, limiting exposure to direct property operating costs.

Macro-economic drivers are critical. Domestic leisure travel demand remains buoyant as discretionary spending rebounds, while corporate travel is recovering slowly but unevenly, creating a “hybrid” occupancy pattern that favors flexible, franchised brands. Additionally, the ongoing shortage of hotel labor pushes operators toward franchise models that can leverage centralized marketing and technology platforms, such as Choice’s proprietary “Choice Central” system.

Given the company’s asset-light franchise model and its diversified brand slate, a deeper dive into its franchise fee structure and pipeline of new openings could clarify upside potential-consider exploring the detailed analytics on ValueRay for a data-rich perspective.

CHH Stock Overview

Market Cap in USD	4,274m
Sub-Industry	Hotels, Resorts & Cruise Lines
IPO / Inception	1997-09-16

CHH Stock Ratings

Growth Rating	-39.6%
Fundamental	61.4%
Dividend Rating	58.0%
Return 12m vs S&P 500	-38.9%
Analyst Rating	3.27 of 5

CHH Dividends

Dividend Yield 12m	1.15%
Yield on Cost 5y	1.17%
Annual Growth 5y	39.90%
Payout Consistency	68.3%
Payout Ratio	23.9%

CHH Growth Ratios

Growth Correlation 3m	-97.3%
Growth Correlation 12m	-87.5%
Growth Correlation 5y	32.1%
CAGR 5y	-4.92%
CAGR/Max DD 3y (Calmar Ratio)	-0.12
CAGR/Mean DD 3y (Pain Ratio)	-0.46
Sharpe Ratio 12m	-1.53
Alpha	-44.53
Beta	0.844
Volatility	31.26%
Current Volume	1188.7k
Average Volume 20d	536.8k
Stop Loss	96.9 (-3.5%)
Signal	-1.18

Piotroski VR‑10 (Strict, 0-10) 6.0

Net Income (307.8m TTM) > 0 and > 6% of Revenue (6% = 94.6m TTM)

FCFTA 0.09 (>2.0%) and ΔFCFTA 3.95pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue -3.25% (prev -0.25%; Δ -3.00pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.12 (>3.0%) and CFO 321.9m > Net Income 307.8m (YES >=105%, WARN >=100%)

Net Debt (1.95b) to EBITDA (547.9m) ratio: 3.56 <= 3.0 (WARN <= 3.5)

Current Ratio 0.89 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (46.6m) change vs 12m ago -3.02% (target <= -2.0% for YES)

Gross Margin 52.40% (prev 43.24%; Δ 9.16pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 60.85% (prev 61.58%; Δ -0.73pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 5.68 (EBITDA TTM 547.9m / Interest Expense TTM 87.1m) >= 6 (WARN >= 3)

Altman Z'' 4.54

(A) -0.02 = (Total Current Assets 400.7m - Total Current Liabilities 451.9m) / Total Assets 2.66b

(B) 0.79 = Retained Earnings (Balance) 2.10b / Total Assets 2.66b

(D) 0.78 = Book Value of Equity 2.10b / Total Liabilities 2.69b

Total Rating: 4.54 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 61.37

1. Piotroski 6.0pt = 1.0

2. FCF Yield 4.04% = 2.02

3. FCF Margin 15.93% = 3.98

4. Debt/Equity -76.66 = -2.50

5. Debt/Ebitda 3.56 = -2.35

6. ROIC - WACC (= 14.41)% = 12.50

7. RoE -531.6% = -2.50

8. Rev. Trend 7.55% = 0.57

9. EPS Trend -26.80% = -1.34

What is the price of CHH shares?

As of November 07, 2025, the stock is trading at USD 100.37 with a total of 1,188,650 shares traded.
Over the past week, the price has changed by +8.40%, over one month by -3.44%, over three months by -19.26% and over the past year by -29.89%.

Is Choice Hotels International a good stock to buy?

Neither. Based on ValueRay´s Fundamental Analyses, Choice Hotels International is currently (November 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 61.37 and therefor a neutral outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of CHH is around 79.37 USD . This means that CHH is currently overvalued and has a potential downside of -20.92%.

Is CHH a buy, sell or hold?

Choice Hotels International has received a consensus analysts rating of 3.27. Therefor, it is recommend to hold CHH.

Strong Buy: 3
Buy: 1
Hold: 9
Sell: 1
Strong Sell: 1

What are the forecasts/targets for the CHH price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	117.5	17.1%
Analysts Target Price	117.5	17.1%
ValueRay Target Price	86.9	-13.4%

CHH Fundamental Data Overview November 04, 2025

Market Cap USD = 4.27b (4.27b USD * 1.0 USD.USD)
P/E Trailing = 14.2767
P/E Forward = 14.2248
P/S = 5.3566
P/B = 898.9504
P/EG = 1.6154
Beta = 0.844
Revenue TTM = 1.58b USD
EBIT TTM = 494.3m USD
EBITDA TTM = 547.9m USD
Long Term Debt = 1.90b USD (from longTermDebt, last quarter)
Short Term Debt = 5.37m USD (from shortTermDebt, last fiscal year)
Debt = 2.01b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.95b USD (from netDebt column, last quarter)
Enterprise Value = 6.23b USD (4.27b + Debt 2.01b - CCE 58.6m)
Interest Coverage Ratio = 5.68 (Ebit TTM 494.3m / Interest Expense TTM 87.1m)
FCF Yield = 4.04% (FCF TTM 251.3m / Enterprise Value 6.23b)
FCF Margin = 15.93% (FCF TTM 251.3m / Revenue TTM 1.58b)
Net Margin = 19.52% (Net Income TTM 307.8m / Revenue TTM 1.58b)
Gross Margin = 52.40% ((Revenue TTM 1.58b - Cost of Revenue TTM 750.7m) / Revenue TTM)
Gross Margin QoQ = 60.76% (prev 50.47%)
Tobins Q-Ratio = 2.34 (Enterprise Value 6.23b / Total Assets 2.66b)
Interest Expense / Debt = 1.13% (Interest Expense 22.7m / Debt 2.01b)
Taxrate = 24.75% (26.9m / 108.6m)
NOPAT = 372.0m (EBIT 494.3m * (1 - 24.75%))
Current Ratio = 0.89 (Total Current Assets 400.7m / Total Current Liabilities 451.9m)
Debt / Equity = -76.66 (negative equity) (Debt 2.01b / totalStockholderEquity, last quarter -26.2m)
Debt / EBITDA = 3.56 (Net Debt 1.95b / EBITDA 547.9m)
Debt / FCF = 7.77 (Net Debt 1.95b / FCF TTM 251.3m)
Total Stockholder Equity = -57.9m (last 4 quarters mean from totalStockholderEquity)
RoA = 11.55% (Net Income 307.8m / Total Assets 2.66b)
RoE = -531.6% (negative equity) (Net Income TTM 307.8m / Total Stockholder Equity -57.9m)
RoCE = 26.83% (EBIT 494.3m / Capital Employed (Equity -57.9m + L.T.Debt 1.90b))
RoIC = 20.89% (NOPAT 372.0m / Invested Capital 1.78b)
WACC = 6.48% (E(4.27b)/V(6.29b) * Re(9.13%) + D(2.01b)/V(6.29b) * Rd(1.13%) * (1-Tc(0.25)))
Discount Rate = 9.13% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -3.01%
[DCF Debug] Terminal Value 70.16% ; FCFE base≈205.9m ; Y1≈164.2m ; Y5≈110.7m
Fair Price DCF = 37.01 (DCF Value 1.71b / Shares Outstanding 46.3m; 5y FCF grow -24.27% → 3.0% )
EPS Correlation: -26.80 | EPS CAGR: -55.78% | SUE: -4.0 | # QB: 0
Revenue Correlation: 7.55 | Revenue CAGR: 1.06% | SUE: -0.39 | # QB: 0

Additional Sources for CHH Stock

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