Choice Hotels International (NYSE:CHH) Reaches New 1-Year Low – Time to Sell?

Choice Hotels International, Inc. (NYSE:CHH) shares hit a new 52-week low during trading on Monday . The company traded as low as $109.33 and last traded at $110.04, with a volume of 680900 shares traded. The stock had previously closed at $109.86.

Analysts Set New Price Targets

CHH has been the topic of a number of recent analyst reports. JPMorgan Chase & Co. assumed coverage on Choice Hotels International in a report on Monday, June 23rd. They issued an “underweight” rating and a $124.00 price objective on the stock. Morgan Stanley restated an “underweight” rating and set a $121.00 target price on shares of Choice Hotels International in a report on Tuesday, July 15th. Robert W. Baird dropped their target price on shares of Choice Hotels International from $144.00 to $136.00 and set an “outperform” rating for the company in a research note on Friday, August 22nd. UBS Group reduced their target price on shares of Choice Hotels International from $160.00 to $149.00 and set a “neutral” rating for the company in a report on Thursday, July 10th. Finally, Barclays lowered their price target on shares of Choice Hotels International from $121.00 to $117.00 and set an “underweight” rating on the stock in a research report on Thursday, August 7th. Three analysts have rated the stock with a Buy rating, six have issued a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Reduce” and an average target price of $133.38.

Choice Hotels International Price Performance

The firm has a fifty day simple moving average of $122.35 and a 200 day simple moving average of $126.02. The company has a market capitalization of $5.07 billion, a price-to-earnings ratio of 16.85, a price-to-earnings-growth ratio of 2.09 and a beta of 0.90.

Choice Hotels International (NYSE:CHH) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $1.92 earnings per share for the quarter, topping the consensus estimate of $1.90 by $0.02. The company had revenue of $426.44 million for the quarter, compared to the consensus estimate of $430.13 million. Choice Hotels International had a negative return on equity of 575.73% and a net margin of 19.52%.Choice Hotels International’s revenue was down 2.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.84 EPS. Research analysts predict that Choice Hotels International, Inc. will post 7.07 EPS for the current year.

Choice Hotels International Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 16th. Investors of record on Wednesday, October 1st will be paid a $0.2875 dividend. The ex-dividend date is Wednesday, October 1st. This represents a $1.15 annualized dividend and a dividend yield of 1.0%. Choice Hotels International’s payout ratio is 17.69%.

Insider Transactions at Choice Hotels International

In other Choice Hotels International news, EVP Dominic Dragisich sold 5,000 shares of the stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $128.54, for a total transaction of $642,700.00. Following the completion of the transaction, the executive vice president directly owned 70,881 shares of the company’s stock, valued at approximately $9,111,043.74. This trade represents a 6.59% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Over the last three months, insiders sold 12,500 shares of company stock valued at $1,647,400. Corporate insiders own 23.78% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the company. Kilter Group LLC bought a new stake in shares of Choice Hotels International in the second quarter valued at approximately $25,000. UMB Bank n.a. boosted its stake in shares of Choice Hotels International by 66.2% during the first quarter. UMB Bank n.a. now owns 256 shares of the company’s stock valued at $34,000 after purchasing an additional 102 shares during the period. HM Payson & Co. acquired a new stake in shares of Choice Hotels International during the 1st quarter worth approximately $35,000. Signaturefd LLC increased its position in shares of Choice Hotels International by 64.7% during the 1st quarter. Signaturefd LLC now owns 275 shares of the company’s stock worth $37,000 after purchasing an additional 108 shares during the last quarter. Finally, Whittier Trust Co. lifted its stake in Choice Hotels International by 138.5% during the second quarter. Whittier Trust Co. now owns 291 shares of the company’s stock worth $37,000 after purchasing an additional 169 shares during the last quarter. Institutional investors own 65.57% of the company’s stock.

About Choice Hotels International

Choice Hotels International, Inc, together with its subsidiaries, operates as a hotel franchisor in the United States and internationally. It operates through Hotel Franchising & Management and Corporate & Other segments. The company franchises lodging properties under the brand names of Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Ascend Hotel Collection, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Studios, WoodSpring Suites, Everhome Suites, Cambria Hotels, Radisson Blu, Radisson RED, Radisson, Park Plaza, Country Inn & Suites by Radisson, Radisson Inn & Suites, Park Inn by Radisson, Radisson Individuals, and Radisson Collection.