Choice Hotels International, Inc. (NYSE:CHH) Receives Consensus Rating of “Reduce” from Analysts

Shares of Choice Hotels International, Inc. (NYSE:CHH) have been given a consensus recommendation of “Reduce” by the fourteen research firms that are presently covering the company, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a sell recommendation, eight have given a hold recommendation and two have given a buy recommendation to the company. The average 1 year price target among brokers that have updated their coverage on the stock in the last year is $111.6667.

A number of analysts have recently issued reports on the company. Morgan Stanley cut their price objective on Choice Hotels International from $87.00 to $86.00 and set an “underweight” rating for the company in a research report on Tuesday, May 12th. Susquehanna cut their price objective on Choice Hotels International from $115.00 to $110.00 and set a “neutral” rating for the company in a research report on Monday, May 4th. JPMorgan Chase & Co. dropped their price target on Choice Hotels International from $117.00 to $116.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Robert W. Baird set a $128.00 price target on Choice Hotels International in a report on Monday, May 11th. Finally, Truist Financial decreased their price objective on Choice Hotels International from $129.00 to $128.00 and set a “buy” rating on the stock in a report on Tuesday, May 26th.

Choice Hotels International Stock Performance

CHH opened at $111.79 on Thursday. Choice Hotels International has a 12-month low of $84.04 and a 12-month high of $136.45. The stock has a market cap of $5.09 billion, a price-to-earnings ratio of 15.07, a PEG ratio of 5.24 and a beta of 0.67. The business has a 50 day moving average of $110.97 and a 200-day moving average of $104.27. The company has a quick ratio of 0.95, a current ratio of 0.95 and a debt-to-equity ratio of 14.58.

Choice Hotels International (NYSE:CHH) last released its quarterly earnings data on Thursday, April 30th. The company reported $1.07 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.35 by ($0.28). Choice Hotels International had a net margin of 21.55% and a return on equity of 281.98%. The business had revenue of $340.58 million during the quarter, compared to analyst estimates of $333.48 million. During the same period in the previous year, the business earned $1.34 earnings per share. The business’s quarterly revenue was up 2.3% on a year-over-year basis. Choice Hotels International has set its FY 2026 guidance at 6.920-7.140 EPS. On average, equities research analysts expect that Choice Hotels International will post 7.11 earnings per share for the current year.

Choice Hotels International Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Shareholders of record on Wednesday, July 1st will be given a dividend of $0.2875 per share. The ex-dividend date is Wednesday, July 1st. This represents a $1.15 annualized dividend and a yield of 1.0%. Choice Hotels International’s dividend payout ratio (DPR) is presently 15.50%.

Insiders Place Their Bets

In other Choice Hotels International news, CFO Scott E. Oaksmith sold 2,000 shares of the stock in a transaction on Friday, June 12th. The stock was sold at an average price of $110.00, for a total transaction of $220,000.00. Following the transaction, the chief financial officer owned 35,172 shares in the company, valued at $3,868,920. This trade represents a 5.38% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 24.02% of the stock is owned by insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. Eurizon Capital SGR S.p.A. bought a new position in Choice Hotels International during the 4th quarter worth $27,000. Eagle Bay Advisors LLC bought a new position in Choice Hotels International during the 4th quarter worth $28,000. Fifth Third Bancorp increased its position in Choice Hotels International by 77.4% during the 4th quarter. Fifth Third Bancorp now owns 392 shares of the company’s stock worth $37,000 after buying an additional 171 shares during the period. UMB Bank n.a. raised its holdings in Choice Hotels International by 6,416.7% in the 4th quarter. UMB Bank n.a. now owns 391 shares of the company’s stock valued at $37,000 after acquiring an additional 385 shares in the last quarter. Finally, Quarry LP acquired a new position in Choice Hotels International in the 3rd quarter valued at $38,000. Institutional investors own 65.57% of the company’s stock.

About Choice Hotels International

Choice Hotels International, Inc is a hospitality franchisor specializing in the development and support of lodging brands across the economy, midscale and upscale segments. Through a network of franchisees, Choice Hotels supplies proprietary reservation and distribution systems, comprehensive marketing programs, and operational support services. The company’s core activities include brand management, franchise development, and technology-driven revenue optimization tools designed to enhance guest acquisition and retention for its partners.

Founded in 1939 as Quality Courts United, the company rebranded to Choice Hotels International in 1982 to reflect its expanding brand portfolio and global ambitions.