Choice Hotels International, Inc. (NYSE:CHH) Given Consensus Recommendation of “Reduce” by Analysts

Choice Hotels International, Inc. (NYSE:CHH) has received a consensus recommendation of “Reduce” from the fifteen ratings firms that are currently covering the firm, Marketbeat.com reports. Four analysts have rated the stock with a sell rating, nine have assigned a hold rating and two have issued a buy rating on the company. The average 1-year price target among brokers that have covered the stock in the last year is $111.9286.

A number of equities research analysts recently commented on the company. The Goldman Sachs Group increased their price target on Choice Hotels International from $90.00 to $100.00 and gave the stock a “neutral” rating in a research report on Tuesday, February 3rd. Truist Financial set a $126.00 price objective on Choice Hotels International and gave the company a “buy” rating in a research report on Friday, January 9th. Barclays boosted their price objective on Choice Hotels International from $98.00 to $101.00 and gave the stock an “underweight” rating in a research note on Friday, February 20th. Weiss Ratings upgraded Choice Hotels International from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, February 9th. Finally, UBS Group cut their price target on Choice Hotels International from $120.00 to $118.00 and set a “neutral” rating for the company in a report on Wednesday, January 7th.

Choice Hotels International Trading Down 5.3%

Shares of Choice Hotels International stock opened at $100.70 on Tuesday. Choice Hotels International has a 12-month low of $84.04 and a 12-month high of $147.51. The stock has a market capitalization of $4.63 billion, a P/E ratio of 12.71, a price-to-earnings-growth ratio of 4.45 and a beta of 0.75. The company has a 50-day simple moving average of $105.33 and a 200 day simple moving average of $102.71. The company has a quick ratio of 0.87, a current ratio of 0.87 and a debt-to-equity ratio of 10.52.

Choice Hotels International (NYSE:CHH) last released its quarterly earnings results on Thursday, February 19th. The company reported $1.60 EPS for the quarter, beating analysts’ consensus estimates of $1.56 by $0.04. The firm had revenue of $390.15 million for the quarter, compared to analyst estimates of $369.26 million. Choice Hotels International had a net margin of 23.17% and a return on equity of 541.07%. The company’s revenue for the quarter was up .0% compared to the same quarter last year. During the same period in the previous year, the business earned $1.55 earnings per share. Choice Hotels International has set its FY 2026 guidance at 6.920-7.140 EPS. Research analysts expect that Choice Hotels International will post 7.07 earnings per share for the current fiscal year.

Choice Hotels International Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Wednesday, April 1st will be paid a dividend of $0.2875 per share. This represents a $1.15 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Wednesday, April 1st. Choice Hotels International’s dividend payout ratio is 14.52%.

Insider Buying and Selling at Choice Hotels International

In related news, SVP Simone Wu sold 8,080 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $101.56, for a total value of $820,604.80. Following the completion of the sale, the senior vice president owned 48,803 shares of the company’s stock, valued at $4,956,432.68. This trade represents a 14.20% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 23.78% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Kilter Group LLC bought a new stake in shares of Choice Hotels International during the second quarter worth $25,000. Eurizon Capital SGR S.p.A. acquired a new position in shares of Choice Hotels International during the fourth quarter valued at $27,000. Eagle Bay Advisors LLC bought a new position in Choice Hotels International in the fourth quarter valued at about $28,000. Quarry LP bought a new position in Choice Hotels International in the third quarter valued at about $38,000. Finally, UMB Bank n.a. increased its position in Choice Hotels International by 6,416.7% in the fourth quarter. UMB Bank n.a. now owns 391 shares of the company’s stock worth $37,000 after purchasing an additional 385 shares during the period. 65.57% of the stock is currently owned by institutional investors.

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.