BRAEMAR HOTELS & RESORTS INC (BHR) Stock Fundamental Analysis
NYSE:BHR - New York Stock Exchange, Inc. - US10482B1017 - REIT - Currency: USD
Taking everything into account, BHR scores 2 out of 10 in our fundamental rating. BHR was compared to 129 industry peers in the Diversified REITs industry. BHR has a bad profitability rating. Also its financial health evaluation is rather negative. BHR is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BHR has reported negative net income.
BHR had a positive operating cash flow in the past year.
In the past 5 years BHR always reported negative net income.
Of the past 5 years BHR 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -2.72%, BHR is doing worse than 74.42% of the companies in the same industry.
BHR has a Return On Equity of -8.48%. This is in the lower half of the industry: BHR underperforms 75.19% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.43%, BHR is doing worse than 79.07% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BHR is in line with the industry average of 3.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.72% | ||
| ROE | -8.48% | ||
| ROIC | 1.43% |
ROA(3y)-2.05%
ROA(5y)-3.03%
ROE(3y)-5.99%
ROE(5y)-11.2%
ROIC(3y)2.18%
ROIC(5y)N/A
1.3 Margins
BHR has a worse Operating Margin (4.81%) than 86.05% of its industry peers.
BHR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 68.81%, BHR is in line with its industry, outperforming 55.81% of the companies in the same industry.
In the last couple of years the Gross Margin of BHR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.81% | ||
| PM (TTM) | N/A | ||
| GM | 68.81% |
OM growth 3Y290.5%
OM growth 5Y-7.45%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.38%
GM growth 5Y-0.18%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BHR is destroying value.
Compared to 1 year ago, BHR has about the same amount of shares outstanding.
Compared to 5 years ago, BHR has more shares outstanding
BHR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.13, we must say that BHR is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.13, BHR is doing worse than 71.32% of the companies in the same industry.
A Debt/Equity ratio of 1.79 is on the high side and indicates that BHR has dependencies on debt financing.
With a Debt to Equity ratio value of 1.79, BHR is not doing good in the industry: 68.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.79 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.13 |
ROIC/WACC0.18
WACC8.03%
2.3 Liquidity
BHR has a Current Ratio of 0.79. This is a bad value and indicates that BHR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.79, BHR is doing worse than 60.47% of the companies in the same industry.
BHR has a Quick Ratio of 0.79. This is a bad value and indicates that BHR is not financially healthy enough and could expect problems in meeting its short term obligations.
BHR has a Quick ratio (0.76) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.21% over the past year.
Looking at the last year, BHR shows a decrease in Revenue. The Revenue has decreased by -2.42% in the last year.
Measured over the past years, BHR shows a quite strong growth in Revenue. The Revenue has been growing by 8.36% on average per year.
EPS 1Y (TTM)23.21%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-180%
Revenue 1Y (TTM)-2.42%
Revenue growth 3Y19.44%
Revenue growth 5Y8.36%
Sales Q2Q%-1.49%
3.2 Future
BHR is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -38.86% yearly.
BHR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.27% yearly.
EPS Next Y-95.44%
EPS Next 2Y-38.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.74%
Revenue Next 2Y0.27%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for BHR. In the last year negative earnings were reported.
Also next year BHR is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BHR indicates a rather cheap valuation: BHR is cheaper than 86.82% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.87 |
4.3 Compensation for Growth
A cheap valuation may be justified as BHR's earnings are expected to decrease with -38.86% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-38.86%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BHR has a Yearly Dividend Yield of 7.55%, which is a nice return.
BHR's Dividend Yield is a higher than the industry average which is at 6.45.
Compared to an average S&P500 Dividend Yield of 2.35, BHR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.55% |
5.2 History
The dividend of BHR decreases each year by -5.40%.
BHR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of BHR decreased in the last 3 years.
Dividend Growth(5Y)-5.4%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
The earnings of BHR are negative and hence is the payout ratio. BHR will probably not be able to sustain this dividend level.
BHR's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-88.82%
EPS Next 2Y-38.86%
EPS Next 3YN/A
2.67
+0.02 (+0.75%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners50.42%
Inst Owner Change0%
Ins Owners2.22%
Ins Owner Change61.73%
Market Cap179.02M
Analysts46.67
Price Target2.04 (-23.6%)
Short Float %2.35%
Short Ratio4.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.55% |
Yearly Dividend0.77
Dividend Growth(5Y)-5.4%
DP-88.82%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)25.25%
Min EPS beat(2)-13.5%
Max EPS beat(2)64%
EPS beat(4)2
Avg EPS beat(4)24.46%
Min EPS beat(4)-48.51%
Max EPS beat(4)95.87%
EPS beat(8)4
Avg EPS beat(8)23.64%
EPS beat(12)5
Avg EPS beat(12)-1.86%
EPS beat(16)8
Avg EPS beat(16)28.57%
Revenue beat(2)2
Avg Revenue beat(2)3.4%
Min Revenue beat(2)2.98%
Max Revenue beat(2)3.83%
Revenue beat(4)3
Avg Revenue beat(4)0.54%
Min Revenue beat(4)-4.99%
Max Revenue beat(4)3.83%
Revenue beat(8)6
Avg Revenue beat(8)-0.17%
Revenue beat(12)9
Avg Revenue beat(12)1.35%
Revenue beat(16)13
Avg Revenue beat(16)3.31%
PT rev (1m)0%
PT rev (3m)-33.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.13%
EPS NY rev (1m)8.59%
EPS NY rev (3m)5.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.94%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.25 | ||
| P/FCF | N/A | ||
| P/OCF | 3.9 | ||
| P/B | 0.27 | ||
| P/tB | 0.27 | ||
| EV/EBITDA | 9.87 |
EPS(TTM)-0.86
EYN/A
EPS(NY)-1.48
Fwd EYN/A
FCF(TTM)-0.25
FCFYN/A
OCF(TTM)0.68
OCFY25.65%
SpS10.81
BVpS10.03
TBVpS9.99
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.72% | ||
| ROE | -8.48% | ||
| ROCE | 1.81% | ||
| ROIC | 1.43% | ||
| ROICexc | 1.49% | ||
| ROICexgc | 1.51% | ||
| OM | 4.81% | ||
| PM (TTM) | N/A | ||
| GM | 68.81% | ||
| FCFM | N/A |
ROA(3y)-2.05%
ROA(5y)-3.03%
ROE(3y)-5.99%
ROE(5y)-11.2%
ROIC(3y)2.18%
ROIC(5y)N/A
ROICexc(3y)2.37%
ROICexc(5y)N/A
ROICexgc(3y)2.4%
ROICexgc(5y)N/A
ROCE(3y)2.76%
ROCE(5y)N/A
ROICexcg growth 3Y336.52%
ROICexcg growth 5Y-3.32%
ROICexc growth 3Y337.41%
ROICexc growth 5Y-3.32%
OM growth 3Y290.5%
OM growth 5Y-7.45%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.38%
GM growth 5Y-0.18%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.79 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 9.14 | ||
| Cap/Depr | 64.7% | ||
| Cap/Sales | 8.63% | ||
| Interest Coverage | 0.34 | ||
| Cash Conversion | 34.91% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 0.13 |
F-Score5
WACC8.03%
ROIC/WACC0.18
Cap/Depr(3y)223.65%
Cap/Depr(5y)152.9%
Cap/Sales(3y)26.8%
Cap/Sales(5y)20.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.21%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-180%
EPS Next Y-95.44%
EPS Next 2Y-38.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.42%
Revenue growth 3Y19.44%
Revenue growth 5Y8.36%
Sales Q2Q%-1.49%
Revenue Next Year-1.74%
Revenue Next 2Y0.27%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-47.43%
EBIT growth 3Y366.41%
EBIT growth 5Y0.29%
EBIT Next Year55.46%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y91.74%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-62.66%
OCF growth 3Y1.45%
OCF growth 5Y0.16%