Apple Hospitality REIT (APLE) AI Stock Analysis

• Market Cap: $2.86B
• Dividend Yield: 8.46%
• Average Volume (3M): 2.56M
• Price to Earnings (P/E): 16.0
• Beta (1Y): 0.90
• Revenue Growth: 2.42%
• EPS Growth: -13.51%
• Country: US
• Employees: 65
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Hotel & Motel
• EPS (TTM): 0.27
• Shares Outstanding: 236,989,840
• 10 Day Avg. Volume: 2,960,702
• 30 Day Avg. Volume: 2,555,851
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.53
• Enterprise Value/Revenue: 3.07
• Enterprise Value/Gross Profit: 8.89
• Enterprise Value/Ebitda: 9.59
• 1Y Price Target: $13.00
• Price Target Upside: 8.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 71 Outperform
• Price Target: $14.00 ▲(17.25% Upside)

Apple Hospitality REIT's overall score is driven by its strong valuation and financial performance, despite challenges in revenue growth and market conditions. The attractive dividend yield and strategic acquisitions provide support, but economic uncertainties and RevPAR declines are notable risks.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage enhances financial stability and flexibility, allowing the company to withstand economic fluctuations and invest in growth opportunities.

Strategic Acquisitions

Strategic acquisitions at favorable cap rates can enhance portfolio quality and income potential, supporting long-term revenue growth and shareholder value.

Effective Cost Management

Effective cost management leading to strong EBITDA margins indicates operational efficiency, which can sustain profitability even in challenging market conditions.

Negative Factors

Revenue Decline

A significant decline in revenue growth can impact profitability and limit the company's ability to reinvest in its business, posing a challenge to long-term growth.

RevPAR Decline

Declining RevPAR indicates reduced pricing power or occupancy, which can pressure revenue and profitability, affecting long-term financial performance.

Increased Fixed Expenses

Rising fixed expenses without corresponding revenue growth can erode profit margins, limiting the company's ability to invest in growth and maintain competitive positioning.

Apple Hospitality REIT Business Overview & Revenue Model

Company Description

Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real estate investment trust (REIT) that owns one of the largest and most diverse portfolios of upscale, rooms-focused hotels in the United States. Apple Hospitality's portfolio consists of 235 hotels with more than 30,000 guest rooms located in 87 markets throughout 34 states. Concentrated with industry-leading brands, the Company's portfolio consists of 104 Marriott-branded hotels, 126 Hilton-branded hotels, three Hyatt-branded hotels and two independent hotels.

How the Company Makes Money

Apple Hospitality REIT generates revenue primarily through the rental income derived from its hotel properties. This income is sourced from long-term leases with various hotel brands that operate the properties under franchise agreements. Additionally, the company benefits from management fees, which are collected from third-party hotel operators hired to manage the day-to-day operations of its properties. The company also capitalizes on revenue growth through strategic acquisitions of high-performing hotels and by optimizing operational efficiencies within its existing portfolio. Factors contributing to its earnings include favorable market conditions for travel and tourism, the strength of its brand partnerships, and effective cost management strategies.

Apple Hospitality REIT Financial Statement Overview

Summary

Apple Hospitality REIT demonstrates solid financial health with strong income growth and stable cash flows. The company has effectively managed its debt levels and improved profitability margins over the years. While there are concerns about revenue growth in the latest TTM period, the overall financial position remains robust and capable of sustaining potential market fluctuations.

Income Statement

The company shows strong revenue growth over the periods, with an impressive turnaround in net income since 2020. Gross profit margin and EBIT margin have improved significantly, reflecting effective cost management. However, the slight decline in total revenue in the TTM period compared to the previous annual period is a concern.

Balance Sheet

The balance sheet is stable with a declining debt-to-equity ratio, indicating improved leverage management. The equity ratio is strong, providing a solid cushion for liabilities. However, the total assets have remained fairly constant, suggesting limited asset growth.

Cash Flow

Cash flow metrics are strong with consistent operating cash flows and improving free cash flow, indicating efficient operational performance. The free cash flow to net income ratio is high, reflecting effective cash generation relative to profits. The variability in investing cash flow indicates potential strategic investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.42B	1.43B	1.34B	1.24B	933.87M	601.88M
Gross Profit	491.52M	509.21M	483.77M	455.03M	319.71M	445.78M
EBITDA	455.37M	483.36M	430.72M	412.56M	271.51M	97.75M
Net Income	180.95M	214.06M	177.49M	144.81M	18.83M	-173.21M
Balance Sheet
Total Assets	4.93B	4.97B	4.94B	4.77B	4.79B	4.83B
Cash, Cash Equivalents and Short-Term Investments	7.90M	10.25M	10.29M	4.08M	3.28M	5.56M
Total Debt	111.38M	1.58B	1.48B	1.48B	1.55B	1.70B
Total Liabilities	1.73B	1.70B	1.61B	1.59B	1.64B	1.80B
Stockholders Equity	3.20B	3.27B	3.32B	3.18B	3.15B	3.03B
Cash Flow
Free Cash Flow	363.99M	325.01M	326.98M	309.07M	199.25M	-21.83M
Operating Cash Flow	381.33M	405.35M	399.04M	368.45M	217.56M	26.73M
Investing Cash Flow	-53.30M	-215.71M	-364.63M	-135.91M	-150.68M	-82.26M
Financing Cash Flow	-324.72M	-189.19M	-34.31M	-228.97M	-61.30M	55.24M

Apple Hospitality REIT Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.94
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APLE, the sentiment is Negative. The current price of 11.94 is below the 20-day moving average (MA) of 12.27, below the 50-day MA of 12.23, and below the 200-day MA of 12.57, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 39.90 is Neutral, neither overbought nor oversold. The STOCH value of 29.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for APLE.

Apple Hospitality REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
XHR	71 Outperform	$1.28B	21.04	5.00%	4.04%	4.81%	185.08%
APLE	71 Outperform	$2.86B	15.96	5.54%	8.46%	2.42%	-13.51%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
DRH	63 Neutral	$1.63B	28.51	4.22%	5.93%	1.72%	-3.49%
SHO	63 Neutral	$1.77B	437.09	0.96%	3.87%	0.37%	-97.38%
PEB	57 Neutral	$1.31B	―	-0.81%	0.36%	2.00%	50.70%
PK	56 Neutral	$2.22B	41.86	1.58%	12.62%	-3.19%	-81.33%

Apple Hospitality REIT Corporate Events

Apple Hospitality REIT Updates Investor Presentation

On September 8, 2025, Apple Hospitality REIT released an updated investor presentation, highlighting its performance and strategic initiatives. The presentation revealed that the company achieved a second quarter 2025 Comparable Hotels RevPAR of $129, occupancy of 79%, and ADR of $164, despite macroeconomic uncertainties. The company continues to focus on its proven investment strategy, emphasizing upscale, rooms-focused hotels with broad geographic diversification and a strong balance sheet, which positions it well to pursue accretive opportunities and maintain competitiveness.

The most recent analyst rating on (APLE) stock is a Hold with a $13.00 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.

Apple Hospitality REIT Releases Updated Investor Presentation

On August 11, 2025, Apple Hospitality REIT released an updated investor presentation on its website, detailing operating statistics for July and August 2025. The presentation highlights the company’s strong financial performance, including a second quarter 2025 Comparable Hotels RevPAR of $129, occupancy of 79%, and ADR of $164, despite macroeconomic uncertainties. This update underscores Apple Hospitality’s robust market positioning and operational resilience, which are crucial for stakeholders amid fluctuating economic conditions.

The most recent analyst rating on (APLE) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.