# Choice Hotels International Inc. (CHH) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Hotels, Restaurants & Leisure. Price $100.62, market value $4.6 billion.

## Valuation
- **P/E (trailing): 14.3×** (5-yr avg 20.7×, 3-yr avg 18.8×). Choice Hotels International Inc. trades at 14.3× trailing earnings, well below its own five-year average of 20.7×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 13.4×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.49**. A PEG of 0.49 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 2.8×**. Each dollar of revenue is priced at 2.8×.
- **Price / book: 31.7×**. The shares trade at 31.7× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 13.6×**. Enterprise value is 13.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Earnings yield: 7.0%**. The inverse of the P/E: 7.0% of the price is earned each year.

## Profitability
- **Operating margin: 25.2%**. 25.2% of revenue is left after running the business, an exceptional level.
- **Net margin: 23.2%**. 23.2% of each dollar of sales reaches the bottom line.
- **Return on equity: 204.1%**. A 204.1% return on equity is extremely high; check whether buybacks or debt have shrunk the equity base, which flatters the ratio.
- **Return on invested capital: 15.8%**. Return on all capital, debt included, is 15.8%: comfortably above what that capital costs.
- **Return on assets: 11.3%**. Each dollar of assets produces 11.3% of profit.

## Growth
- **Revenue growth (1 yr): 0.8%** (3-yr 4.4%/yr, 5-yr 15.6%/yr). Revenue grew 0.8% over the last year, against 15.6% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 27.4%** (3-yr 9.7%/yr, 5-yr 42.4%/yr). Earnings per share rose 27.4%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Debt to equity: 10.52**. Debt is 10.52 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 3.9×**. It would take 3.9 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Altman Z-score: 2.14**. A Z-score of 2.14 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.14%** ($1.15 per share, trailing). Choice Hotels International Inc. yields 1.14%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 14%**. 14% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 1**. 1 straight year of increases.
- **Dividend growth (5 yr): 38.6%/yr** (1-yr 33.3%). The dividend has compounded at 38.6% a year over five years, doubling roughly every 2 years at that pace.

## Analyst view
- **Analyst consensus: hold** (16 analysts). 16 analysts cover Choice Hotels International Inc.; the consensus is hold, with an average price target of $114.75 (+14% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -13.1%** (YTD 6.5%, 3-mo -8.1%). The shares are down 13.1% over twelve months including dividends.
- **From 52-week high: -18.7%** (19.7% above the low). Trading 19% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 38**. An RSI of 38 is neutral.
- **Beta (1 yr): 0.46** (volatility 38%). Beta of 0.46 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CHH · Page: https://foliofundamentals.com/stocks/chh

Not investment advice.
