Wyndham Hotels & Resorts, Inc. [NYSE:WH]: Analyst Rating and Earnings
Stock market traders frequently keep their eyes on what Wall Street experts as it relates to a potential investment. For Wyndham Hotels & Resorts, Inc. [WH], the most recent analyst consensus recommendation available since its latest financial results for the quarter ending in December. On average, stock market experts give WH an Outperform rating. The average 12-month price forecast for this stock is $68.25, with the high estimate being $77.00, the low estimate being $59.00 and the median estimate amounting to $69.50. This is compared to its latest closing price of $47.64.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Wyndham Hotels & Resorts, Inc. [WH] is sitting at 1.75. This is compared to 1 month ago, when its average rating was 1.75.
For the quarter ending in Sep-18 Wyndham Hotels & Resorts, Inc. [WH] generated $0.6 billion in sales. That’s 8.86% higher than the average estimate of $0.55 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep your eyes peeled for the soon-to-be-published financial results of this company, which are expected to be made public on Tue 29 Jan (In 21 Days).
Fundamental Analysis of Wyndham Hotels & Resorts, Inc. [WH]
Now let’s turn to look at profitability: with a current Operating Margin for Wyndham Hotels & Resorts, Inc. [WH] sitting at +22.94 and its Gross Margin at +29.47, this company’s Net Margin is now . These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 22.32, and its Return on Invested Capital has reached 17.20%. its Return on Equity is 20.16, and its Return on Assets is 11.84. These metrics suggest that this Wyndham Hotels & Resorts, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Wyndham Hotels & Resorts, Inc. [WH] has generated a Total Debt to Total Equity ratio of 14.15. Similarly, its Total Debt to Total Capital is 12.40, while its Total Debt to Total Assets stands at 8.67. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 6.23, and its Long-Term Debt to Total Capital is 5.46. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 11.97 and its Total Debt to EBITDA Value is 0.48. The Enterprise Value to Sales for this firm is now 3.41. These metrics all suggest that Wyndham Hotels & Resorts, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Wyndham Hotels & Resorts, Inc. [WH] earns $154,828 for each employee under its payroll. Income works out to $27,931 per employee. Similarly, this company’s Receivables Turnover is 7.13 and its Total Asset Turnover is 0.66. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.81 and its Current Ratio is 0.81. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Let’s now turn our attention to trading performance: Wyndham Hotels & Resorts, Inc. [WH] has 99.80M shares outstanding, amounting to a total market cap of $4.85B. Its stock price has been found in the range of 43.03 to 66.95. At its current price, it has moved by -27.38% from its 52-week high, and it has moved 12.99% from its 52-week low.
This stock’s Beta value is currently , which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 58.94. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Wyndham Hotels & Resorts, Inc. [WH] a Reliable Buy?
Wyndham Hotels & Resorts, Inc. [WH] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.