HYATT HOTELS CORP - CL A (H)
US4485791028 - Common Stock
Taking everything into account, H scores 4 out of 10 in our fundamental rating. H was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. The financial health of H is average, but there are quite some concerns on its profitability. H is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
H had positive earnings in the past year.
In the past year H had a positive cash flow from operations.
In multiple years H reported negative net income over the last 5 years.
H had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of H (1.71%) is comparable to the rest of the industry.
H has a Return On Equity (6.17%) which is comparable to the rest of the industry.
The Return On Invested Capital of H (2.34%) is worse than 65.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.71% | ||
| ROE | 6.17% | ||
| ROIC | 2.34% |
ROA(3y)1.22%
ROA(5y)1.01%
ROE(3y)4.08%
ROE(5y)1.94%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of H (3.30%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of H has declined.
H has a Operating Margin of 4.57%. This is in the lower half of the industry: H underperforms 63.43% of its industry peers.
H's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 52.84%, H perfoms like the industry average, outperforming 56.72% of the companies in the same industry.
In the last couple of years the Gross Margin of H has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.57% | ||
| PM (TTM) | 3.3% | ||
| GM | 52.84% |
OM growth 3YN/A
OM growth 5Y-9.3%
PM growth 3YN/A
PM growth 5Y-28.18%
GM growth 3Y16.47%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so H is destroying value.
The number of shares outstanding for H has been reduced compared to 1 year ago.
H has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, H has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.87 indicates that H is not a great score, but indicates only limited risk for bankruptcy at the moment.
H has a Altman-Z score of 1.87. This is comparable to the rest of the industry: H outperforms 56.72% of its industry peers.
The Debt to FCF ratio of H is 5.19, which is a neutral value as it means it would take H, 5.19 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.19, H is in the better half of the industry, outperforming 74.63% of the companies in the same industry.
H has a Debt/Equity ratio of 0.65. This is a neutral value indicating H is somewhat dependend on debt financing.
H has a better Debt to Equity ratio (0.65) than 69.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 5.19 | ||
| Altman-Z | 1.87 |
ROIC/WACC0.28
WACC8.26%
2.3 Liquidity
A Current Ratio of 0.60 indicates that H may have some problems paying its short term obligations.
With a Current ratio value of 0.60, H is not doing good in the industry: 72.39% of the companies in the same industry are doing better.
H has a Quick Ratio of 0.60. This is a bad value and indicates that H is not financially healthy enough and could expect problems in meeting its short term obligations.
H has a Quick ratio of 0.59. This is in the lower half of the industry: H underperforms 70.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
H shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.59%.
H shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.14% yearly.
Looking at the last year, H shows a quite strong growth in Revenue. The Revenue has grown by 13.17% in the last year.
H shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.40% yearly.
EPS 1Y (TTM)-22.59%
EPS 3YN/A
EPS 5Y5.14%
EPS growth Q2Q-74.9%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y47.77%
Revenue growth 5Y8.4%
Revenue growth Q2Q4.53%
3.2 Future
H is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.32% yearly.
The Revenue is expected to grow by 8.41% on average over the next years. This is quite good.
EPS Next Y42.09%
EPS Next 2Y32.38%
EPS Next 3Y33.77%
EPS Next 5Y30.32%
Revenue Next Year4.71%
Revenue Next 2Y4.73%
Revenue Next 3Y5.18%
Revenue Next 5Y8.41%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 59.10, H can be considered very expensive at the moment.
Based on the Price/Earnings ratio, H is valued a bit more expensive than the industry average as 61.94% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 28.06. H is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 41.60, which means the current valuation is very expensive for H.
Compared to the rest of the industry, the Price/Forward Earnings ratio of H is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of H to the average of the S&P500 Index (20.72), we can say H is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.1 | ||
| Fwd PE | 41.6 |
4.2 Price Multiples
74.63% of the companies in the same industry are cheaper than H, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, H is valued a bit cheaper than the industry average as 61.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.27 | ||
| EV/EBITDA | 25.07 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
H's earnings are expected to grow with 33.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.4
PEG (5Y)11.49
EPS Next 2Y32.38%
EPS Next 3Y33.77%
5. Dividend
5.1 Amount
H has a yearly dividend return of 0.40%, which is pretty low.
Compared to an average industry Dividend Yield of 2.57, H pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.40, H pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
5.2 History
The dividend of H decreases each year by -5.73%.
H has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-5.73%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
H pays out 21.36% of its income as dividend. This is a sustainable payout ratio.
DP21.36%
EPS Next 2Y32.38%
EPS Next 3Y33.77%
HYATT HOTELS CORP - CL A
NYSE:H (5/3/2024, 9:22:05 AM)
151.895
+0.22 (+0.14%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap15.47B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.1 | ||
| Fwd PE | 41.6 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.4
PEG (5Y)11.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.71% | ||
| ROE | 6.17% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.57% | ||
| PM (TTM) | 3.3% | ||
| GM | 52.84% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-22.59%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y42.09%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)13.17%
Revenue growth 3Y47.77%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y