Wyndham Hotels & Resorts (NYSE:WH – Get Free Report) and Tuniu (NASDAQ:TOUR – Get Free Report) are both consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, institutional ownership, dividends, analyst recommendations, profitability, valuation and risk.
Risk and Volatility
Wyndham Hotels & Resorts has a beta of 0.62, meaning that its share price is 38% less volatile than the S&P 500. Comparatively, Tuniu has a beta of 0.44, meaning that its share price is 56% less volatile than the S&P 500.
Analyst Ratings
This is a summary of recent recommendations and price targets for Wyndham Hotels & Resorts and Tuniu, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Wyndham Hotels & Resorts | 0 | 5 | 8 | 0 | 2.62 |
| Tuniu | 1 | 0 | 0 | 0 | 1.00 |
Dividends
Wyndham Hotels & Resorts pays an annual dividend of $1.72 per share and has a dividend yield of 2.5%. Tuniu pays an annual dividend of $1.18 per share and has a dividend yield of 23.1%. Wyndham Hotels & Resorts pays out 63.2% of its earnings in the form of a dividend. Tuniu pays out 368.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Wyndham Hotels & Resorts has increased its dividend for 5 consecutive years.
Profitability
This table compares Wyndham Hotels & Resorts and Tuniu’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Wyndham Hotels & Resorts | 14.67% | 74.22% | 8.58% |
| Tuniu | 3.73% | 3.17% | 1.90% |
Institutional and Insider Ownership
93.5% of Wyndham Hotels & Resorts shares are held by institutional investors. 2.3% of Wyndham Hotels & Resorts shares are held by company insiders. Comparatively, 76.1% of Tuniu shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.
Valuation & Earnings
This table compares Wyndham Hotels & Resorts and Tuniu”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Wyndham Hotels & Resorts | $1.42 billion | 3.63 | $193.00 million | $2.72 | 25.48 |
| Tuniu | $82.65 million | 0.68 | $4.45 million | $0.32 | 15.97 |
Wyndham Hotels & Resorts has higher revenue and earnings than Tuniu. Tuniu is trading at a lower price-to-earnings ratio than Wyndham Hotels & Resorts, indicating that it is currently the more affordable of the two stocks.
Summary
Wyndham Hotels & Resorts beats Tuniu on 15 of the 17 factors compared between the two stocks.
About Wyndham Hotels & Resorts
Wyndham Hotels & Resorts, Inc. engages in the franchise and operation of hotels under the Wyndham brand. It operates through the Hotel Franchising and Hotel Management segments. The Hotel Franchising segment focuses on licensing the company’s lodging brands and providing related services to third-party hotel owners and others. The Hotel Management segment provides management services. The company was founded in 1990 and is headquartered in Parsippany, NJ.
About Tuniu
Tuniu Corporation operates as an online leisure travel company in China. The company offers various packaged tours, including organized and self-guided tours; and other travel-related services, such as tourist attraction tickets, visa application services, accommodation reservation, financial services, and hotel booking services, as well as air, train, and bus ticketing for leisure travelers. It also provides car rental and insurance services, as well as advertising services to tourism boards and bureaus. The company offers its products and services through various online and offline channels, including tuniu.com website; mobile platform; a call center in Nanjing; and other offline retail stores in China. Tuniu Corporation was founded in 2006 and is headquartered in Nanjing, the People's Republic of China.
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