(RLJ) RLJ Lodging Trust - Overview
Sector: Real Estate | Industry: REIT - Hotel & Motel | Exchange: NYSE (USA) | Market Cap: 1.367m USD | Total Return: 45.9% in 12m
Avg Turnover: 23.1M
EPS Trend: -89.9%
Qual. Beats: 2
Rev. Trend: 78.0%
Qual. Beats: 3
Warnings
High Debt/EBITDA (6.3) with thin interest coverage (1.2)
Beneish M-Score 1.00 > -1.5 - likely earnings manipulation
Altman Z'' -1.62 < 1.0 - financial distress zone
Tailwinds
No distinct edge detected
RLJ Lodging Trust is a Maryland-incorporated Real Estate Investment Trust (REIT) focused on the ownership of premium-branded, focused-service, and compact full-service hotel properties. Established in 2011, the company operates as a self-advised entity, primarily targeting high-margin assets within the hospitality sector.
The company’s business model centers on focused-service hotels, which typically generate higher operating margins than full-service resorts by offering limited food and beverage services while maintaining high-quality lodging. As a Hotel & Resort REIT, RLJ is required by law to distribute at least 90% of its taxable income to shareholders in the form of dividends.
Investors looking for deeper valuation metrics should consult ValueRay for further analysis. Detailed historical performance and portfolio composition provide additional context for evaluating this trust’s market position.
- Urban business travel recovery bolsters occupancy rates in top-tier markets
- RevPAR growth driven by strategic renovations and portfolio high-grading initiatives
- High interest rates increase debt service costs for variable rate financing
- Consumer discretionary spending shifts impact demand for premium focused-service assets
- Operating margins face pressure from rising labor and property insurance costs
| Net Income: 24.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA 1.70 > 1.0 |
| NWC/Revenue: -25.01% < 20% (prev 16.56%; Δ -41.57% < -1%) |
| CFO/TA 0.05 > 3% & CFO 253.7m > Net Income 24.8m |
| Net Debt (2.04b) to EBITDA (321.4m): 6.34 < 3 |
| Current Ratio: 0.53 > 1.5 & < 3 |
| Outstanding Shares: last quarter (149.3m) vs 12m ago -1.05% < -2% |
| Gross Margin: 1.43% > 18% (prev 0.28%; Δ 114.7% > 0.5%) |
| Asset Turnover: 28.63% > 50% (prev 28.50%; Δ 0.13% > 0%) |
| Interest Coverage Ratio: 1.22 > 6 (EBITDA TTM 321.4m / Interest Expense TTM 110.5m) |
| A: -0.07 (Total Current Assets 384.5m - Total Current Liabilities 725.0m) / Total Assets 4.70b |
| B: -0.26 (Retained Earnings -1.21b / Total Assets 4.70b) |
| C: 0.03 (EBIT TTM 134.7m / Avg Total Assets 4.76b) |
| D: -0.47 (Book Value of Equity -1.20b / Total Liabilities 2.54b) |
| Altman-Z'' = -1.62 = D |
| DSRI: 1.15 (Receivables 31.4m/27.5m, Revenue 1.36b/1.37b) |
| GMI: 19.66 (GM 1.43% / 28.05%) |
| AQI: 1.02 (AQ_t 0.89 / AQ_t-1 0.88) |
| SGI: 0.99 (Revenue 1.36b / 1.37b) |
| TATA: -0.05 (NI 24.8m - CFO 253.7m) / TA 4.70b) |
| Beneish M = 13.95 (Cap -4..+1) = D |
As of May 24, 2026, the stock is trading at USD 9.61 with a total of 1,576,686 shares traded.
Over the past week, the price has changed by +7.04%,
over one month by +20.50%,
over three months by +21.28% and
over the past year by +45.85%.
RLJ Lodging Trust has received a consensus analysts rating of 3.30. Therefore, it is recommended to hold RLJ.
- StrongBuy: 3
- Buy: 0
- Hold: 5
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 8.5 | -11.3% |
P/S = 1.0038
P/B = 0.7652
P/EG = 2.0614
Revenue TTM = 1.36b USD
EBIT TTM = 134.7m USD
EBITDA TTM = 321.4m USD
Long Term Debt = 2.19b USD (from longTermDebt, last quarter)
Short Term Debt = 725.0m USD (from shortTermDebt, last quarter)
Debt = 2.43b USD (from shortLongTermDebtTotal, last quarter) + Leases 118.0m
Net Debt = 2.04b USD (calculated: Debt 2.43b - CCE 387.5m)
Enterprise Value = 3.41b USD (1.37b + Debt 2.43b - CCE 387.5m)
Interest Coverage Ratio = 1.22 (Ebit TTM 134.7m / Interest Expense TTM 110.5m)
EV/FCF = 13.42x (Enterprise Value 3.41b / FCF TTM 253.7m)
FCF Yield = 7.45% (FCF TTM 253.7m / Enterprise Value 3.41b)
FCF Margin = 18.63% (FCF TTM 253.7m / Revenue TTM 1.36b)
Net Margin = 1.82% (Net Income TTM 24.8m / Revenue TTM 1.36b)
Gross Margin = 1.43% ((Revenue TTM 1.36b - Cost of Revenue TTM 1.34b) / Revenue TTM)
Gross Margin QoQ = 33.82% (prev -87.06%)
Tobins Q-Ratio = 0.73 (Enterprise Value 3.41b / Total Assets 4.70b)
Interest Expense / Debt = 4.56% (Interest Expense 110.5m / Debt 2.43b)
Taxrate = 3.87% (1.15m / 29.7m)
NOPAT = 129.5m (EBIT 134.7m * (1 - 3.87%))
Current Ratio = 0.53 (Total Current Assets 384.5m / Total Current Liabilities 725.0m)
Debt / Equity = 1.13 (Debt 2.43b / totalStockholderEquity, last quarter 2.14b)
Debt / EBITDA = 6.34 (Net Debt 2.04b / EBITDA 321.4m)
Debt / FCF = 8.04 (Net Debt 2.04b / FCF TTM 253.7m)
Total Stockholder Equity = 2.18b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.52% (Net Income 24.8m / Total Assets 4.70b)
RoE = 0.73% (Net Income TTM 24.8m / Total Stockholder Equity 3.39b)
RoCE = 2.41% (EBIT 134.7m / Capital Employed (Equity 3.39b + L.T.Debt 2.19b))
RoIC = 2.82% (NOPAT 129.5m / Invested Capital 4.60b)
WACC = 6.09% (E(1.37b)/V(3.79b) * Re(9.12%) + D(2.43b)/V(3.79b) * Rd(4.56%) * (1-Tc(0.04)))
Discount Rate = 9.12% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -82.22 | Cagr: -1.48%
[DCF] Terminal Value 77.97% ; FCFF base≈223.5m ; Y1≈256.2m ; Y5≈377.1m
[DCF] Fair Price = 23.93 (EV 5.67b - Net Debt 2.04b = Equity 3.64b / Shares 151.9m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -89.91 | EPS CAGR: -60.39% | SUE: 1.27 | # QB: 2
Revenue Correlation: 77.97 | Revenue CAGR: 1.65% | SUE: 4.0 | # QB: 3
EPS current Quarter (2026-06-30): EPS=0.12 | Chg30d=-4.17% | Revisions=+20% | Analysts=2
EPS next Quarter (2026-09-30): EPS=-0.07 | Chg30d=-15.38% | Revisions=-20% | Analysts=2
EPS current Year (2026-12-31): EPS=-0.06 | Chg30d=+18.32% | Revisions=+33% | GrowthEPS=-733.3% | GrowthRev=+1.3%
EPS next Year (2027-12-31): EPS=-0.06 | Chg30d=+22.65% | Revisions=+0% | GrowthEPS=+35.7% | GrowthRev=+2.1%
[Analyst] Revisions Ratio: +33%