SUMMIT HOTEL PROPERTIES INC (INN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:INN - US8660821005 - REIT
5.36 USD
+0.02 (+0.37%)
5.36 USD
0 (0%)
INN gets a fundamental rating of 1 out of 10. The analysis compared the fundamentals against 128 industry peers in the Diversified REITs industry. INN has a bad profitability rating. Also its financial health evaluation is rather negative. INN has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year INN has reported negative net income.
In the past year INN had a positive cash flow from operations.
In the past 5 years INN reported 4 times negative net income.
Of the past 5 years INN 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of INN (-0.60%) is worse than 60.16% of its industry peers.
INN has a Return On Equity of -1.94%. This is in the lower half of the industry: INN underperforms 60.94% of its industry peers.
INN's Return On Invested Capital of 1.90% is on the low side compared to the rest of the industry. INN is outperformed by 67.97% of its industry peers.
INN had an Average Return On Invested Capital over the past 3 years of 2.00%. This is in line with the industry average of 3.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.6% | ||
| ROE | -1.94% | ||
| ROIC | 1.9% |
ROA(3y)-0.22%
ROA(5y)-2.29%
ROE(3y)-0.7%
ROE(5y)-5.39%
ROIC(3y)2%
ROIC(5y)N/A
1.3 Margins
INN's Profit Margin has declined in the last couple of years.
INN has a worse Operating Margin (9.01%) than 77.34% of its industry peers.
INN's Operating Margin has declined in the last couple of years.
INN's Gross Margin of 41.33% is on the low side compared to the rest of the industry. INN is outperformed by 83.59% of its industry peers.
In the last couple of years the Gross Margin of INN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.01% | ||
| PM (TTM) | N/A | ||
| GM | 41.33% |
OM growth 3YN/A
OM growth 5Y-4.42%
PM growth 3YN/A
PM growth 5Y-22.69%
GM growth 3Y1.41%
GM growth 5Y-0.69%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so INN is destroying value.
INN has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, INN has more shares outstanding
The debt/assets ratio for INN has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.29, we must say that INN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.29, INN is not doing good in the industry: 61.72% of the companies in the same industry are doing better.
The Debt to FCF ratio of INN is 25.23, which is on the high side as it means it would take INN, 25.23 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 25.23, INN is doing good in the industry, outperforming 73.44% of the companies in the same industry.
INN has a Debt/Equity ratio of 1.62. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of INN (1.62) is worse than 64.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 25.23 | ||
| Altman-Z | 0.29 |
ROIC/WACC0.28
WACC6.76%
2.3 Liquidity
A Current Ratio of 0.59 indicates that INN may have some problems paying its short term obligations.
INN has a Current ratio of 0.59. This is in the lower half of the industry: INN underperforms 78.13% of its industry peers.
INN has a Quick Ratio of 0.59. This is a bad value and indicates that INN is not financially healthy enough and could expect problems in meeting its short term obligations.
INN's Quick ratio of 0.59 is on the low side compared to the rest of the industry. INN is outperformed by 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The earnings per share for INN have decreased strongly by -1700.00% in the last year.
The earnings per share for INN have been decreasing by -22.65% on average. This is quite bad
The Revenue for INN has decreased by -21.31% in the past year. This is quite bad
The Revenue has been growing slightly by 5.90% on average over the past years.
EPS 1Y (TTM)-1700%
EPS 3YN/A
EPS 5Y-22.65%
EPS Q2Q%-175%
Revenue 1Y (TTM)-21.31%
Revenue growth 3Y26.45%
Revenue growth 5Y5.9%
Sales Q2Q%0.18%
3.2 Future
Based on estimates for the next years, INN will show a very negative growth in Earnings Per Share. The EPS will decrease by -76.70% on average per year.
INN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.61% yearly.
EPS Next Y-178.56%
EPS Next 2Y-76.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.28%
Revenue Next 2Y1.4%
Revenue Next 3Y1.61%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
INN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year INN 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
Based on the Enterprise Value to EBITDA ratio, INN is valued cheaper than 90.63% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of INN indicates a rather cheap valuation: INN is cheaper than 89.06% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.35 | ||
| EV/EBITDA | 9.17 |
4.3 Compensation for Growth
A cheap valuation may be justified as INN's earnings are expected to decrease with -76.70% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-76.7%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.03%, INN is a good candidate for dividend investing.
INN's Dividend Yield is a higher than the industry average which is at 6.38.
Compared to an average S&P500 Dividend Yield of 2.34, INN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.03% |
5.2 History
The dividend of INN decreases each year by -9.83%.
INN has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of INN decreased in the last 3 years.
Dividend Growth(5Y)-9.83%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
INN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The Dividend Rate of INN has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP-341.4%
EPS Next 2Y-76.7%
EPS Next 3YN/A
5.36
+0.02 (+0.37%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners99.48%
Inst Owner Change-2.85%
Ins Owners3.69%
Ins Owner Change0%
Market Cap583.17M
Revenue(TTM)727.44M
Net Income(TTM)-16.99M
Analysts72
Price Target6.12 (14.18%)
Short Float %4.34%
Short Ratio6.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.03% |
Yearly Dividend0.52
Dividend Growth(5Y)-9.83%
DP-341.4%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-158.53%
Min EPS beat(2)-296.04%
Max EPS beat(2)-21.01%
EPS beat(4)1
Avg EPS beat(4)-66.39%
Min EPS beat(4)-296.04%
Max EPS beat(4)109.9%
EPS beat(8)4
Avg EPS beat(8)53.48%
EPS beat(12)6
Avg EPS beat(12)28.7%
EPS beat(16)8
Avg EPS beat(16)38.01%
Revenue beat(2)0
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-2.08%
Max Revenue beat(2)-1.78%
Revenue beat(4)0
Avg Revenue beat(4)-1.28%
Min Revenue beat(4)-2.08%
Max Revenue beat(4)-0.5%
Revenue beat(8)1
Avg Revenue beat(8)-1.16%
Revenue beat(12)4
Avg Revenue beat(12)-0.69%
Revenue beat(16)6
Avg Revenue beat(16)0.02%
PT rev (1m)-6.8%
PT rev (3m)-6.8%
EPS NQ rev (1m)13.33%
EPS NQ rev (3m)13.33%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-0.96%
Revenue NQ rev (3m)-2.53%
Revenue NY rev (1m)-0.37%
Revenue NY rev (3m)-1.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.8 | ||
| P/FCF | 10.35 | ||
| P/OCF | 3.82 | ||
| P/B | 0.67 | ||
| P/tB | 0.67 | ||
| EV/EBITDA | 9.17 |
EPS(TTM)-0.16
EYN/A
EPS(NY)-0.2
Fwd EYN/A
FCF(TTM)0.52
FCFY9.66%
OCF(TTM)1.4
OCFY26.18%
SpS6.69
BVpS8.05
TBVpS8.05
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.6% | ||
| ROE | -1.94% | ||
| ROCE | 2.41% | ||
| ROIC | 1.9% | ||
| ROICexc | 1.93% | ||
| ROICexgc | 1.94% | ||
| OM | 9.01% | ||
| PM (TTM) | N/A | ||
| GM | 41.33% | ||
| FCFM | 7.75% |
ROA(3y)-0.22%
ROA(5y)-2.29%
ROE(3y)-0.7%
ROE(5y)-5.39%
ROIC(3y)2%
ROIC(5y)N/A
ROICexc(3y)2.03%
ROICexc(5y)N/A
ROICexgc(3y)2.05%
ROICexgc(5y)N/A
ROCE(3y)2.54%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y-2.78%
ROICexc growth 3YN/A
ROICexc growth 5Y-2.8%
OM growth 3YN/A
OM growth 5Y-4.42%
PM growth 3YN/A
PM growth 5Y-22.69%
GM growth 3Y1.41%
GM growth 5Y-0.69%
F-Score2
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 25.23 | ||
| Debt/EBITDA | 6.64 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.85 | ||
| Cash Conversion | 71.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 0.29 |
F-Score2
WACC6.76%
ROIC/WACC0.28
Cap/Depr(3y)95.41%
Cap/Depr(5y)68.38%
Cap/Sales(3y)20.55%
Cap/Sales(5y)15.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1700%
EPS 3YN/A
EPS 5Y-22.65%
EPS Q2Q%-175%
EPS Next Y-178.56%
EPS Next 2Y-76.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-21.31%
Revenue growth 3Y26.45%
Revenue growth 5Y5.9%
Sales Q2Q%0.18%
Revenue Next Year0.28%
Revenue Next 2Y1.4%
Revenue Next 3Y1.61%
Revenue Next 5YN/A
EBIT growth 1Y-39.06%
EBIT growth 3YN/A
EBIT growth 5Y1.23%
EBIT Next Year131.98%
EBIT Next 3Y34.26%
EBIT Next 5YN/A
FCF growth 1Y-47.29%
FCF growth 3Y114.42%
FCF growth 5YN/A
OCF growth 1Y-2.82%
OCF growth 3Y36.01%
OCF growth 5Y2.29%
SUMMIT HOTEL PROPERTIES INC / INN FAQ
What is the ChartMill fundamental rating of SUMMIT HOTEL PROPERTIES INC (INN) stock?
ChartMill assigns a fundamental rating of 1 / 10 to INN.
What is the valuation status for INN stock?
ChartMill assigns a valuation rating of 2 / 10 to SUMMIT HOTEL PROPERTIES INC (INN). This can be considered as Overvalued.
How profitable is SUMMIT HOTEL PROPERTIES INC (INN) stock?
SUMMIT HOTEL PROPERTIES INC (INN) has a profitability rating of 1 / 10.
How financially healthy is SUMMIT HOTEL PROPERTIES INC?
The financial health rating of SUMMIT HOTEL PROPERTIES INC (INN) is 1 / 10.
Can you provide the dividend sustainability for INN stock?
The dividend rating of SUMMIT HOTEL PROPERTIES INC (INN) is 5 / 10 and the dividend payout ratio is -341.4%.