Want to see INN full AI Analyst Report?
Top Page
Summit Hotel Properties
(NYSE:INN)
Select Model
Select Model
Rating:64Neutral
Price Target:
$7.00
â–¼(-0.28% Downside)
Action:Reiterated
Date:08/09/26
INN scores in the mid-range primarily due to strong and improving cash flow (a key positive for a REIT) and a constructive, guidance-raising earnings call that emphasized better liquidity and operating momentum. Offsetting these are inconsistent reported profitability (including negative gross profit in recent periods) and mixed technicals with weaker near-term trend signals. Valuation is supported by the dividend yield, but the negative P/E reflects ongoing earnings volatility.
Positive Factors
Strong cash generation
Consistent and improving operating cash flow and free cash flow provide durable internal funding for dividends, maintenance capex, and targeted reinvestment. For a hotel REIT, persistent positive FCF reduces reliance on external finance and supports long‑term distribution and portfolio upkeep.
Negative Factors
Inconsistent reported profitability
Despite healthy hotel EBITDA and cash flow, recurring net losses and deteriorating gross profit suggest persistent below‑the‑line charges, property level cost pressure or one‑offs that can erode retained earnings. This limits long‑term equity returns and makes GAAP earnings less reliable for capital planning.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Consistent and improving operating cash flow and free cash flow provide durable internal funding for dividends, maintenance capex, and targeted reinvestment. For a hotel REIT, persistent positive FCF reduces reliance on external finance and supports long‑term distribution and portfolio upkeep.
Read all positive factors
Summit Hotel Properties Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down revenue across the company’s business lines — for Summit Hotel Properties that means income from owned hotel operations (guest rooms, food and beverage, and other guest services), fee or ancillary income, and occasional one-time items such as property sales or insurance recoveries. The mix matters because room revenue drives core cash flow and is sensitive to occupancy and average room rates, while a larger share of fee or other recurring income can reduce volatility; watching segment trends helps you judge dividend sustainability, growth potential, and exposure to travel cycles or local market weakness.
Breaks down revenue across the company’s business lines — for Summit Hotel Properties that means income from owned hotel operations (guest rooms, food and beverage, and other guest services), fee or ancillary income, and occasional one-time items such as property sales or insurance recoveries. The mix matters because room revenue drives core cash flow and is sensitive to occupancy and average room rates, while a larger share of fee or other recurring income can reduce volatility; watching segment trends helps you judge dividend sustainability, growth potential, and exposure to travel cycles or local market weakness.
Data provided by:
The Fly
The FlySummit Hotel Properties (INN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$732.97M
Dividend Yield5.26%
Average Volume (3M)753.09K
Price to Earnings (P/E)―
Beta (1Y)1.08
Revenue Growth1.24%
EPS Growth-143.19%
CountryUS
Employees78
SectorReal Estate
Sector Strength53
IndustryREIT - Hotel & Motel
Share Statistics
EPS (TTM)-0.23
Shares Outstanding107,853,460
10 Day Avg. Volume741,665
30 Day Avg. Volume753,086
Financial Highlights & Ratios
PEG Ratio0.12
Price to Book (P/B)0.60
Price to Sales (P/S)0.71
P/FCF Ratio7.07
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit>-0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$7.00Price Target Upside-0.28% Downside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)-0.48
Revenue Forecast (FY)$741.58M
Summit Hotel Properties Business Overview & Revenue Model
Company Description
Summit Hotel Properties, Inc. is a publicly listed real estate investment trust (REIT) that concentrates on acquiring and managing premium-branded, efficiently operated hotels, primarily within the upscale segment of the hospitality sector. As of ...
How the Company Makes Money
Summit Hotel Properties makes money primarily by generating hotel-level operating income from the properties it owns. The core revenue stream is rooms revenue (guest room rentals), which is driven by occupancy and average daily rate; hotels may al...
Summit Hotel Properties Earnings Call Summary
Earnings Call Date:Aug 05, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive operational and financial trajectory: healthy revenue and profitability growth (RevPAR +5%, ADR +7.1%, EBITDA and FFO up ~7%), strengthened liquidity and debt profile, successful asset recycling and share repurchases, and raised full-year guidance. Remaining challenges include modest expense and labor inflation (expenses +4%, labor +4.3%), a government segment still below historical norms, a small property‑tax drag (~25 bps) and month-to-month pacing variability (softer August). Overall, the positives materially outweigh the headwinds.Positive Updates
Pro Forma RevPAR and ADR Growth
Pro forma RevPAR increased 5.0% year-over-year in Q2, driven by a 7.1% increase in average daily rate (ADR); June RevPAR accelerated to nearly 10% growth and preliminary July RevPAR finished at ~6%.
Negative Updates
Expenses and Labor Cost Pressure
Total operating expenses increased 4.0% YoY in Q2 with total labor costs up 4.3% YoY (higher incentive comp and benefit costs); company now anticipates full-year hotel operating expense growth of ~3.0%.
Read all updates
Q2-2026 Updates
Positive
Negative
Pro Forma RevPAR and ADR Growth
Pro forma RevPAR increased 5.0% year-over-year in Q2, driven by a 7.1% increase in average daily rate (ADR); June RevPAR accelerated to nearly 10% growth and preliminary July RevPAR finished at ~6%.
Read all positive updates
Company Guidance
Summit raised its full‑year outlook, now forecasting pro forma RevPAR growth of 1.75%–3.25% (midpoint +75 bps), adjusted EBITDAre of $175M–$182M, adjusted FFO of $95.5M–$103M and adjusted FFO per share of $0.79–$0.85 (midpoint +$0.02 after removing the ~$0.5M contribution from the sold Arlington hotels); the revised midpoints increase ~$3.5M (with ~$2M from stronger Q2 results and ~$1.5M from higher H2 expectations). Management expects full‑year Hotel EBITDA margins to be down 25 bps to up 25 bps (flat at midpoint), including ~25 bps of property tax headwinds; pro rata interest expense (ex amortization) of $58M–$62M; preferred distributions of $18.5M; and pro rata capital expenditures of $55M–$65M. Preliminary July RevPAR is ~6% and Q3 is pacing mid‑single digits, World Cup added ~100 bps to Q2 RevPAR, no additional acquisitions/dispositions/repurchases assumed beyond Aug 5, and pro rata GIC fee income covers ~15% of annual cash corporate G&A.Summit Hotel Properties Financial Statement Overview
Summary
Income Statement
52
Neutral
Balance Sheet
58
Neutral
Cash Flow
74
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 736.15M | 729.47M | 731.78M | 736.13M | 675.70M | 361.93M |
| Gross Profit | -127.32M | -55.85M | 259.64M | 258.02M | 238.46M | 107.45M |
| EBITDA | 316.31M | 219.47M | 259.22M | 212.40M | 220.57M | 82.21M |
| Net Income | -7.17M | -7.96M | 43.64M | -9.49M | 1.47M | -65.57M |
Balance Sheet | ||||||
| Total Assets | 2.73B | 2.78B | 2.90B | 2.94B | 3.02B | 2.26B |
| Cash, Cash Equivalents and Short-Term Investments | 36.93M | 36.11M | 40.64M | 37.84M | 51.26M | 64.48M |
| Total Debt | 1.40B | 1.42B | 1.42B | 1.46B | 1.48B | 1.43B |
| Total Liabilities | 1.49B | 1.50B | 1.51B | 1.54B | 1.56B | 1.16B |
| Stockholders Equity | 838.84M | 862.15M | 909.54M | 911.20M | 959.81M | 948.07M |
Cash Flow | ||||||
| Free Cash Flow | 115.08M | 73.55M | 77.02M | 153.64M | 93.15M | 66.05M |
| Operating Cash Flow | 157.78M | 149.03M | 166.32M | 153.64M | 169.62M | 66.05M |
| Investing Cash Flow | -17.19M | -42.44M | -71.50M | -101.96M | -290.51M | -74.24M |
| Financing Cash Flow | -146.35M | -113.73M | -94.23M | -65.72M | 85.76M | 66.24M |
Summit Hotel Properties Technical Analysis
Neutral
7.02
Price Trends
6.57
Negative
5.76
Positive
5.21
Positive
Market Momentum
-0.11
Positive
32.86
Neutral
9.07
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INN, the sentiment is Neutral. The current price of 7.02 is above the 20-day moving average (MA) of 6.71, above the 50-day MA of 6.57, and above the 200-day MA of 5.21, indicating a neutral trend. The MACD of -0.11 indicates Positive momentum. The RSI at 32.86 is Neutral, neither overbought nor oversold. The STOCH value of 9.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for INN.
Summit Hotel Properties Risk Analysis
Summit Hotel Properties disclosed 74 risk factors in its most recent earnings report. Summit Hotel Properties reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Summit Hotel Properties Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $589.99M | 108.95 | 1.64% | 2.81% | -3.14% | 197.81% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
64 Neutral | $732.97M | -26.46 | -0.84% | 4.56% | 1.24% | -143.19% | |
63 Neutral | $1.73B | -254.68 | -0.62% | 2.61% | 1.65% | -112.43% | |
62 Neutral | $1.67B | 267.73 | 1.26% | 4.86% | 1.07% | -96.66% | |
49 Neutral | $139.42M | 31.46 | 0.52% | 8.97% | -3.84% | 4.89% | |
47 Neutral | $1.10B | -1.06 | -65.18% | 2.36% | -12.04% | -75.70% |
* Real Estate Sector Average
INN
Summit Hotel Properties
6.08
1.12
22.58%
SVC
Service Properties
8.17
-4.06
-33.21%
CLDT
Chatham Lodging
12.91
6.14
90.81%
RLJ
RLJ Lodging
10.95
4.31
64.79%
BHR
Braemar Hotels & Resorts
2.02
-0.06
-2.98%
XHR
Xenia Hotels & Resorts
19.05
6.43
51.00%
Summit Hotel Properties Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Summit Hotel Properties Announces $200 Million Equity Program
Positive
Aug 7, 2026
Summit Hotel Properties, Inc. is a lodging-focused real estate investment trust that owns select-service and upscale extended-stay hotels through its Summit Hotel OP, LP operating partnership. The company uses capital markets access to fund acquis...
Business Operations and StrategyPrivate Placements and Financing
Summit Hotel Properties Announces New $650 Million Credit Facility
Positive
Jun 30, 2026
On June 29, 2026, Summit Hotel OP, LP, the operating arm of Summit Hotel Properties, Inc., entered into a new $650 million senior unsecured credit facility with Bank of America as administrative agent, replacing its prior credit agreement. The ame...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Summit Hotel Properties CFO Resigns, CEO Assumes Role
Neutral
Jun 12, 2026
On June 12, 2026, Summit Hotel Properties announced that Executive Vice President and Chief Financial Officer William “Trey” Conkling resigned effective June 15, 2026, citing personal reasons, with the company emphasizing that his depa...
Executive/Board ChangesShareholder Meetings
Summit Hotel Shareholders Back Directors, Auditor and Pay
Positive
May 21, 2026
On May 20, 2026, Summit Hotel Properties, Inc. held its Annual Meeting of Stockholders, with 86.18% of outstanding shares represented, and stockholders elected eight directors to serve until the 2027 annual meeting. Investors also ratified Ernst ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.