Choice Hotels (CZH) Stock Price & Analysis
CZH Stock Chart & Stats
- Day’s Range
- EUR 98.50 - EUR 98.50
- 52-Week Range
- EUR 70.50 - EUR 101.00
- Previous Close
- EUR 100.00
- Volume
- 0
- Average Volume (3M)
- 0
- Market Cap
- EUR 4.48B
- Enterprise Value
- EUR 7.07B
- Total Cash (Recent Filing)
- EUR 42.83M
- Total Debt (Recent Filing)
- EUR 2.11B
- Price to Earnings (P/E)
- 15.6
- Beta
- 0.43
- Next Earnings
- Feb 25, 2027 (Est.)
- EPS Estimate
- N/A
- Next Dividend Ex-Date
- N/A
- Dividend Yield
- 1.02%
Bulls Say, Bears Say
Bulls Say
Asset-Light Franchising Model
The asset-light structure reduces Choice’s direct exposure to hotel real-estate ownership and allows growth through franchise fees, marketing, distribution, technology, and loyalty services. A larger franchised network can expand recurring fee income while requiring less capital than owning properties.
Loyalty And Technology Strength
A large loyalty base and improving commercial technology can strengthen direct demand, franchisee economics, and brand retention over time. Higher loyalty contribution and better group conversion support the fee base while making Choice’s platform more valuable to current and prospective franchisees.
Improving Growth Outlook
Raised guidance indicates management sees sufficient operating traction to support higher full-year targets despite a modest RevPAR environment. Improving net rooms growth, royalty-rate expansion, and conversion-led openings can broaden the recurring fee base and support earnings over the next several quarters.
Bears Say
Very High Leverage
The extremely thin equity cushion leaves Choice financially sensitive to operating softness and higher interest costs. High leverage can constrain capital allocation, increase refinancing exposure, and reduce flexibility to fund franchise growth or absorb unexpected pressure in hotel demand.
Weaker Cash-Flow Trajectory
Declining operating cash flow reduces the amount of internally generated funding available for investment, debt service, and shareholder returns. Acquisition costs and reimbursable expenses are absorbing cash, so sustained improvement in cash conversion is important to support the company’s earnings quality.
RevPAR And Pipeline Challenges
Underperformance in important lodging segments can limit room-revenue growth and therefore pressure royalty expansion. A broadly flat domestic pipeline also suggests that future unit growth may depend heavily on conversions and execution, creating less dependable visibility into the pace of network expansion.
CZH FAQ
What was Choice Hotels’s price range in the past 12 months?
What is Choice Hotels’s market cap?
When is Choice Hotels’s upcoming earnings report date?
How were Choice Hotels’s earnings last quarter?
Is Choice Hotels overvalued?
Does Choice Hotels pay dividends?
What is Choice Hotels’s EPS estimate?
How many shares outstanding does Choice Hotels have?
What happened to Choice Hotels’s price movement after its last earnings report?
Which hedge fund is a major shareholder of Choice Hotels?
What is the TipRanks Smart Score and how is it calculated?
Choice Hotels Stock Smart Score
Company Description
Choice Hotels
Choice Hotels International, Inc., also known as Choice Hotels, operates as a prominent global hotel franchisor, conducting its extensive business through its various subsidiary entities. The company's activities are primarily divided into two main segments: Hotel Franchising and Corporate & Other. It authorizes the use of its brand names for a diverse portfolio of lodging establishments, including well-known brands such as Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Extended Stay Hotel, WoodSpring Suites, Everhome Suites, Cambria Hotels, and the Ascend Hotel Collection. Beyond its core franchising operations, Choice Hotels also develops and offers cloud-based property management software solutions specifically designed for independent hoteliers not affiliated with its franchise system. As of March 31, 2022, its widespread network consisted of approximately 7,000 hotels, encompassing roughly 600,000 rooms, distributed across 35 countries and territories worldwide. Established in 1939, Choice Hotels International, Inc. maintains its corporate headquarters in Rockville, Maryland.
- Sector
- Consumercyclical
- Industry
- Travel Lodging
- CEO
- Dominic Dragisich
- Employees
- 1,754
- Website
- www.choicehotels.com
- Address
- 915 Meeting Street, North Bethesda, MD, 20852, US
Choice Hotels (CZH) Earnings & Revenues
CZH Company Deck
CZH Earnings Call
Earnings Call SentimentPositive
The call highlighted clear operational progress: improving net rooms growth trajectory (notably conversion-led openings and sharply lower exits), modest RevPAR recovery, meaningful traction from loyalty and AI-enabled commercial tools, and disciplined capital allocation that reduced development outlays 80% year-to-date. Management raised several full-year targets (EBITDA, RevPAR, royalty rate, net rooms growth) and demonstrated returning capital to shareholders. Key near-term challenges include weaker operating cash flow, elevated reimbursable deficits tied to temporary investments, higher SG&A/reserves, pipeline visibility nuances due to conversion velocity, and timing/market risk around monetizing owned assets. On balance, improvements in core operating metrics and upgraded guidance outweigh the listed financial and timing headwinds.
View all DE:CZH earnings summariesCZH Net sales Breakdown
- 93.54% Hotel Franchising & Management
CZH Stock 12 Month Forecast
Average Price Target
Technical Analysis
Overall Consensus
| Indicator | Bullish | Neutral | Bearish |
|---|---|---|---|
| Overall Consensus | 14 | 5 | 3 |
| Technical Analysis | 2 | 5 | 3 |
| Moving Averages | 12 | 0 | 0 |
