HOST HOTELS & RESORTS INC (HST) Stock Fundamental Analysis
NASDAQ:HST - Nasdaq - US44107P1049 - REIT - Currency: USD
HST gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 130 industry peers in the Diversified REITs industry. HST has only an average score on both its financial health and profitability. HST has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year HST was profitable.
In the past year HST had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: HST reported negative net income in multiple years.
HST had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 5.23%, HST belongs to the best of the industry, outperforming 94.62% of the companies in the same industry.
HST has a Return On Equity of 10.18%. This is amongst the best in the industry. HST outperforms 89.23% of its industry peers.
HST has a better Return On Invested Capital (5.12%) than 91.54% of its industry peers.
HST had an Average Return On Invested Capital over the past 3 years of 5.17%. This is above the industry average of 3.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.23% | ||
| ROE | 10.18% | ||
| ROIC | 5.12% |
ROA(3y)5.52%
ROA(5y)2.15%
ROE(3y)10.38%
ROE(5y)3.87%
ROIC(3y)5.17%
ROIC(5y)N/A
1.3 Margins
HST has a Profit Margin of 11.66%. This is in the better half of the industry: HST outperforms 63.08% of its industry peers.
HST's Profit Margin has declined in the last couple of years.
HST's Operating Margin of 13.54% is on the low side compared to the rest of the industry. HST is outperformed by 69.23% of its industry peers.
In the last couple of years the Operating Margin of HST has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.54% | ||
| PM (TTM) | 11.66% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y-1.5%
PM growth 3YN/A
PM growth 5Y-6.13%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HST is destroying value.
The number of shares outstanding for HST has been reduced compared to 1 year ago.
HST has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, HST has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.59, we must say that HST is in the distress zone and has some risk of bankruptcy.
HST has a better Altman-Z score (1.59) than 91.54% of its industry peers.
The Debt to FCF ratio of HST is 6.00, which is on the high side as it means it would take HST, 6.00 years of fcf income to pay off all of its debts.
HST has a Debt to FCF ratio of 6.00. This is amongst the best in the industry. HST outperforms 96.92% of its industry peers.
HST has a Debt/Equity ratio of 0.76. This is a neutral value indicating HST is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.76, HST is doing good in the industry, outperforming 71.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 6 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.62
WACC8.22%
2.3 Liquidity
HST has a Current Ratio of 0.99. This is a bad value and indicates that HST is not financially healthy enough and could expect problems in meeting its short term obligations.
HST has a Current ratio (0.99) which is in line with its industry peers.
A Quick Ratio of 0.99 indicates that HST may have some problems paying its short term obligations.
HST has a Quick ratio (0.99) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The earnings per share for HST have decreased by -5.88% in the last year.
HST shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -4.56% yearly.
The Revenue has been growing slightly by 7.52% in the past year.
Measured over the past years, HST shows a small growth in Revenue. The Revenue has been growing by 0.77% on average per year.
EPS 1Y (TTM)-5.88%
EPS 3Y114.72%
EPS 5Y-4.56%
EPS Q2Q%-7.89%
Revenue 1Y (TTM)7.52%
Revenue growth 3Y25.29%
Revenue growth 5Y0.77%
Sales Q2Q%8.36%
3.2 Future
Based on estimates for the next years, HST will show a small growth in Earnings Per Share. The EPS will grow by 7.85% on average per year.
The Revenue is expected to grow by 3.40% on average over the next years.
EPS Next Y-22.8%
EPS Next 2Y-10.32%
EPS Next 3Y-0.86%
EPS Next 5Y7.85%
Revenue Next Year5.17%
Revenue Next 2Y3.6%
Revenue Next 3Y3.68%
Revenue Next 5Y3.4%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.55 indicates a correct valuation of HST.
Based on the Price/Earnings ratio, HST is valued cheaply inside the industry as 88.46% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of HST to the average of the S&P500 Index (27.15), we can say HST is valued slightly cheaper.
The Price/Forward Earnings ratio is 19.95, which indicates a rather expensive current valuation of HST.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HST indicates a rather cheap valuation: HST is cheaper than 93.08% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of HST to the average of the S&P500 Index (21.60), we can say HST is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 19.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HST indicates a rather cheap valuation: HST is cheaper than 85.38% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, HST is valued cheaply inside the industry as 88.46% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.01 | ||
| EV/EBITDA | 9.62 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.32%
EPS Next 3Y-0.86%
5. Dividend
5.1 Amount
HST has a Yearly Dividend Yield of 5.09%, which is a nice return.
Compared to an average industry Dividend Yield of 6.64, HST has a dividend in line with its industry peers.
HST's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.09% |
5.2 History
The dividend of HST has a limited annual growth rate of 4.32%.
HST has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)4.32%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
93.21% of the earnings are spent on dividend by HST. This is not a sustainable payout ratio.
HST's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP93.21%
EPS Next 2Y-10.32%
EPS Next 3Y-0.86%
NASDAQ:HST (7/1/2025, 3:25:06 PM)
15.885
+0.53 (+3.42%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners110.97%
Inst Owner Change2.8%
Ins Owners1.37%
Ins Owner Change8.42%
Market Cap11.02B
Analysts80
Price Target18.04 (13.57%)
Short Float %5.28%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.09% |
Yearly Dividend1.05
Dividend Growth(5Y)4.32%
DP93.21%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.86%
Min EPS beat(2)17.25%
Max EPS beat(2)26.47%
EPS beat(4)3
Avg EPS beat(4)14.87%
Min EPS beat(4)-0.99%
Max EPS beat(4)26.47%
EPS beat(8)5
Avg EPS beat(8)13.16%
EPS beat(12)8
Avg EPS beat(12)17.24%
EPS beat(16)12
Avg EPS beat(16)247.14%
Revenue beat(2)2
Avg Revenue beat(2)2.68%
Min Revenue beat(2)2.11%
Max Revenue beat(2)3.25%
Revenue beat(4)3
Avg Revenue beat(4)1.28%
Min Revenue beat(4)-1.08%
Max Revenue beat(4)3.25%
Revenue beat(8)5
Avg Revenue beat(8)0.63%
Revenue beat(12)7
Avg Revenue beat(12)1.5%
Revenue beat(16)11
Avg Revenue beat(16)3.03%
PT rev (1m)-0.43%
PT rev (3m)-10.11%
EPS NQ rev (1m)-5.43%
EPS NQ rev (3m)-6.25%
EPS NY rev (1m)0.22%
EPS NY rev (3m)5.3%
Revenue NQ rev (1m)0.66%
Revenue NQ rev (3m)-0.39%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 19.95 | ||
| P/S | 1.9 | ||
| P/FCF | 13.01 | ||
| P/OCF | 7.66 | ||
| P/B | 1.66 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 9.62 |
EPS(TTM)0.96
EY6.04%
EPS(NY)0.8
Fwd EY5.01%
FCF(TTM)1.22
FCFY7.69%
OCF(TTM)2.07
OCFY13.05%
SpS8.37
BVpS9.59
TBVpS9.59
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.23% | ||
| ROE | 10.18% | ||
| ROCE | 6.48% | ||
| ROIC | 5.12% | ||
| ROICexc | 5.43% | ||
| ROICexgc | 5.69% | ||
| OM | 13.54% | ||
| PM (TTM) | 11.66% | ||
| GM | N/A | ||
| FCFM | 14.59% |
ROA(3y)5.52%
ROA(5y)2.15%
ROE(3y)10.38%
ROE(5y)3.87%
ROIC(3y)5.17%
ROIC(5y)N/A
ROICexc(3y)5.67%
ROICexc(5y)N/A
ROICexgc(3y)5.92%
ROICexgc(5y)N/A
ROCE(3y)6.54%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-3.28%
ROICexc growth 3YN/A
ROICexc growth 5Y-3.47%
OM growth 3YN/A
OM growth 5Y-1.5%
PM growth 3YN/A
PM growth 5Y-6.13%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 6 | ||
| Debt/EBITDA | 3.25 | ||
| Cap/Depr | 75.96% | ||
| Cap/Sales | 10.18% | ||
| Interest Coverage | 4.16 | ||
| Cash Conversion | 91.94% | ||
| Profit Quality | 125.11% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 1.59 |
F-Score5
WACC8.22%
ROIC/WACC0.62
Cap/Depr(3y)80.17%
Cap/Depr(5y)74.32%
Cap/Sales(3y)10.69%
Cap/Sales(5y)15.53%
Profit Quality(3y)129.27%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.88%
EPS 3Y114.72%
EPS 5Y-4.56%
EPS Q2Q%-7.89%
EPS Next Y-22.8%
EPS Next 2Y-10.32%
EPS Next 3Y-0.86%
EPS Next 5Y7.85%
Revenue 1Y (TTM)7.52%
Revenue growth 3Y25.29%
Revenue growth 5Y0.77%
Sales Q2Q%8.36%
Revenue Next Year5.17%
Revenue Next 2Y3.6%
Revenue Next 3Y3.68%
Revenue Next 5Y3.4%
EBIT growth 1Y4.38%
EBIT growth 3YN/A
EBIT growth 5Y-0.74%
EBIT Next Year93.45%
EBIT Next 3Y29.3%
EBIT Next 5Y20.16%
FCF growth 1Y-9.41%
FCF growth 3YN/A
FCF growth 5Y6.54%
OCF growth 1Y-1.71%
OCF growth 3Y72.47%
OCF growth 5Y3.69%