Choice Hotels International, Inc. is a leading hotel franchising company that operates various hotel brands under its umbrella. Recently, investment analysts at Morgan Stanley raised the company’s price objective from $130.00 to $134.00, indicating a potential upside of 9.89% from the stock’s previous close.
The hotel franchising giant last announced its quarterly earnings data on May 9th, and it was an impressive performance indeed. The company reported earnings per share of $1.12 for the quarter, beating analysts’ consensus estimates of $1.08 by $0.04. Choice Hotels International had a net margin of 23.69% and a return on equity of 99.85%. The firm also recorded revenue of $333.80 million for the quarter compared to analyst estimates of $320.43 million.
The Hotel Franchising segment consists of Choice Hotels International’s several hotel brands operating in different parts of the world, providing guests with comfortable accommodation options that suit their budgets and preferences while also generating significant income for franchisees.
The Corporate and Other segment deals with hotel revenues and rental income related to office buildings owned by the company.” With such variety in its offerings, coupled with an outstanding financial performance, it is no surprise that Morgan Stanley has increased its price objective for the company.
Looking ahead to the future, equities analysts forecast that Choice Hotels International will post earnings per share of 5.88 for the current year. This forecast bodes well for investors who can look forward to bullish returns from this high-performing stock.
In summary, Choice Hotels International proudly stands out as one of the most profitable global hotel franchising companies with impressive earnings reports consistently exceeding expectations set by industry experts; hence it remains a worthwhile investment option for both seasoned and newbie investors alike this May 13th and beyond!
Exploring Investment Opportunities with Choice Hotels International
Choice Hotels International Offers Potential for Investors
Investors looking for a well-known name in the hospitality industry may want to consider Choice Hotels International. Despite recent mixed reports from analysts, this company offers a market capitalization of $6.25 billion, solid revenue streams and diversified operations.
The company franchises and operates hotels through various brands and has two main segments: Hotel Franchising, which oversees hotel franchising operations; and Corporate and Other, which handles hotel revenues and rental income from office buildings owned by the company.
While some analysts have lowered their price targets on Choice Hotels International recently, others have increased them. Truist Financial analysts raised the price target from $120 to $132 with a “hold” rating while Wells Fargo & Company lowered their target from $122 to $113 with an “underweight” rating. Robert W. Baird lifted its target to $135 in a research report on Friday. Bloomberg.com gives Choice Hotels International an average rating of “hold” and an average price target of $122.38 as of May 13, 2023.
On May 12, 2023 , Choice Hotels International opened at $121.94 with a P/E ratio of approximately 21.02 and a P/E/G ratio of around 1.78 along with a beta score of about 1.27 compared to the broad market index (returning around 1% during the trading day). Its shares traded between $104 and $133 over the previous year with interesting support pattern at level cerca
