PARK HOTELS & RESORTS INC (PK) Stock Fundamental Analysis
USA - NYSE:PK - US7005171050 - REIT
9.97 USD
-0.25 (-2.45%)
10.05 USD
+0.08 (+0.8%)
Taking everything into account, PK scores 3 out of 10 in our fundamental rating. PK was compared to 127 industry peers in the Diversified REITs industry. PK has a bad profitability rating. Also its financial health evaluation is rather negative. PK is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PK had negative earnings in the past year.
In the past year PK had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PK reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: PK reported negative operating cash flow in multiple years.
1.2 Ratios
PK has a Return On Assets (0.64%) which is comparable to the rest of the industry.
PK's Return On Equity of 1.66% is in line compared to the rest of the industry. PK outperforms 49.61% of its industry peers.
PK has a Return On Invested Capital (2.26%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for PK is in line with the industry average of 3.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 1.66% | ||
| ROIC | 2.26% |
ROA(3y)1.67%
ROA(5y)-2.66%
ROE(3y)4.02%
ROE(5y)-5.53%
ROIC(3y)2.67%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.21%, PK perfoms like the industry average, outperforming 44.88% of the companies in the same industry.
In the last couple of years the Profit Margin of PK has declined.
PK's Operating Margin of 9.67% is on the low side compared to the rest of the industry. PK is outperformed by 76.38% of its industry peers.
PK's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 65.37%, PK is in line with its industry, outperforming 42.52% of the companies in the same industry.
PK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.67% | ||
| PM (TTM) | 2.21% | ||
| GM | 65.37% |
OM growth 3YN/A
OM growth 5Y-4.28%
PM growth 3YN/A
PM growth 5Y-5.48%
GM growth 3Y-0.22%
GM growth 5Y0.08%
2. Health
2.1 Basic Checks
PK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PK has been reduced compared to 1 year ago.
Compared to 5 years ago, PK has less shares outstanding
The debt/assets ratio for PK is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.48, we must say that PK is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of PK (0.48) is comparable to the rest of the industry.
The Debt to FCF ratio of PK is 24.28, which is on the high side as it means it would take PK, 24.28 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PK (24.28) is better than 71.65% of its industry peers.
PK has a Debt/Equity ratio of 1.33. This is a high value indicating a heavy dependency on external financing.
PK has a Debt to Equity ratio (1.33) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 24.28 | ||
| Altman-Z | 0.48 |
ROIC/WACC0.39
WACC5.73%
2.3 Liquidity
PK has a Current Ratio of 0.60. This is a bad value and indicates that PK is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.60, PK is doing worse than 74.80% of the companies in the same industry.
A Quick Ratio of 0.60 indicates that PK may have some problems paying its short term obligations.
With a Quick ratio value of 0.60, PK is not doing good in the industry: 74.80% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
PK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -104.43%.
PK shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.46% yearly.
Looking at the last year, PK shows a decrease in Revenue. The Revenue has decreased by -3.57% in the last year.
PK shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.79% yearly.
EPS 1Y (TTM)-104.43%
EPS 3YN/A
EPS 5Y-6.46%
EPS Q2Q%-130.77%
Revenue 1Y (TTM)-3.57%
Revenue growth 3Y24.03%
Revenue growth 5Y-1.79%
Sales Q2Q%-6.01%
3.2 Future
PK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.66% yearly.
Based on estimates for the next years, PK will show a small growth in Revenue. The Revenue will grow by 3.57% on average per year.
EPS Next Y-132.02%
EPS Next 2Y-37.63%
EPS Next 3Y-21.37%
EPS Next 5Y13.66%
Revenue Next Year-1.58%
Revenue Next 2Y0.24%
Revenue Next 3Y1.2%
Revenue Next 5Y3.57%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PK reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
PK is valuated quite expensively with a Price/Forward Earnings ratio of 25.38.
Based on the Price/Forward Earnings ratio, PK is valued cheaply inside the industry as 81.89% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.27, PK is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.38 |
4.2 Price Multiples
74.80% of the companies in the same industry are more expensive than PK, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, PK is valued cheaply inside the industry as 87.40% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.6 | ||
| EV/EBITDA | 11.07 |
4.3 Compensation for Growth
A cheap valuation may be justified as PK's earnings are expected to decrease with -21.37% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.63%
EPS Next 3Y-21.37%
5. Dividend
5.1 Amount
PK has a Yearly Dividend Yield of 9.72%, which is a nice return.
PK's Dividend Yield is rather good when compared to the industry average which is at 6.33. PK pays more dividend than 91.34% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, PK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.72% |
5.2 History
The dividend of PK has a limited annual growth rate of 2.02%.
PK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)2.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
501.75% of the earnings are spent on dividend by PK. This is not a sustainable payout ratio.
The dividend of PK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP501.75%
EPS Next 2Y-37.63%
EPS Next 3Y-21.37%
9.97
-0.25 (-2.45%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners107.17%
Inst Owner Change-0.12%
Ins Owners1.99%
Ins Owner Change0.55%
Market Cap1.99B
Revenue(TTM)2.54B
Net Income(TTM)57.00M
Analysts70
Price Target12.24 (22.77%)
Short Float %18.02%
Short Ratio11.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.72% |
Yearly Dividend2.48
Dividend Growth(5Y)2.02%
DP501.75%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-323.47%
Min EPS beat(2)-538.56%
Max EPS beat(2)-108.38%
EPS beat(4)2
Avg EPS beat(4)-32.33%
Min EPS beat(4)-538.56%
Max EPS beat(4)443.72%
EPS beat(8)6
Avg EPS beat(8)47.64%
EPS beat(12)9
Avg EPS beat(12)19.02%
EPS beat(16)11
Avg EPS beat(16)37.16%
Revenue beat(2)0
Avg Revenue beat(2)-1.23%
Min Revenue beat(2)-2.25%
Max Revenue beat(2)-0.2%
Revenue beat(4)1
Avg Revenue beat(4)-1.28%
Min Revenue beat(4)-2.68%
Max Revenue beat(4)0.03%
Revenue beat(8)1
Avg Revenue beat(8)-1.59%
Revenue beat(12)2
Avg Revenue beat(12)-1.38%
Revenue beat(16)4
Avg Revenue beat(16)-0.33%
PT rev (1m)0.02%
PT rev (3m)-3.68%
EPS NQ rev (1m)-47.06%
EPS NQ rev (3m)-67.86%
EPS NY rev (1m)-181.25%
EPS NY rev (3m)-411.78%
Revenue NQ rev (1m)-0.99%
Revenue NQ rev (3m)-4.97%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-1.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.38 | ||
| P/S | 0.77 | ||
| P/FCF | 10.6 | ||
| P/OCF | 4.81 | ||
| P/B | 0.58 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 11.07 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.39
Fwd EY3.94%
FCF(TTM)0.94
FCFY9.43%
OCF(TTM)2.07
OCFY20.77%
SpS12.89
BVpS17.23
TBVpS17.02
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 1.66% | ||
| ROCE | 3.07% | ||
| ROIC | 2.26% | ||
| ROICexc | 2.35% | ||
| ROICexgc | 2.38% | ||
| OM | 9.67% | ||
| PM (TTM) | 2.21% | ||
| GM | 65.37% | ||
| FCFM | 7.3% |
ROA(3y)1.67%
ROA(5y)-2.66%
ROE(3y)4.02%
ROE(5y)-5.53%
ROIC(3y)2.67%
ROIC(5y)N/A
ROICexc(3y)2.89%
ROICexc(5y)N/A
ROICexgc(3y)2.92%
ROICexgc(5y)N/A
ROCE(3y)3.63%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y-2.14%
ROICexc growth 3YN/A
ROICexc growth 5Y-0.95%
OM growth 3YN/A
OM growth 5Y-4.28%
PM growth 3YN/A
PM growth 5Y-5.48%
GM growth 3Y-0.22%
GM growth 5Y0.08%
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 24.28 | ||
| Debt/EBITDA | 8.04 | ||
| Cap/Depr | 70.85% | ||
| Cap/Sales | 8.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.89% | ||
| Profit Quality | 329.83% | ||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 0.48 |
F-Score6
WACC5.73%
ROIC/WACC0.39
Cap/Depr(3y)83.36%
Cap/Depr(5y)59.63%
Cap/Sales(3y)8.67%
Cap/Sales(5y)8.01%
Profit Quality(3y)156.41%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-104.43%
EPS 3YN/A
EPS 5Y-6.46%
EPS Q2Q%-130.77%
EPS Next Y-132.02%
EPS Next 2Y-37.63%
EPS Next 3Y-21.37%
EPS Next 5Y13.66%
Revenue 1Y (TTM)-3.57%
Revenue growth 3Y24.03%
Revenue growth 5Y-1.79%
Sales Q2Q%-6.01%
Revenue Next Year-1.58%
Revenue Next 2Y0.24%
Revenue Next 3Y1.2%
Revenue Next 5Y3.57%
EBIT growth 1Y-26.11%
EBIT growth 3YN/A
EBIT growth 5Y-5.99%
EBIT Next Year64.63%
EBIT Next 3Y20.94%
EBIT Next 5YN/A
FCF growth 1Y-17.54%
FCF growth 3YN/A
FCF growth 5Y-4.85%
OCF growth 1Y-11.54%
OCF growth 3YN/A
OCF growth 5Y-2.98%
PARK HOTELS & RESORTS INC / PK FAQ
Can you provide the ChartMill fundamental rating for PARK HOTELS & RESORTS INC?
ChartMill assigns a fundamental rating of 3 / 10 to PK.
Can you provide the valuation status for PARK HOTELS & RESORTS INC?
ChartMill assigns a valuation rating of 3 / 10 to PARK HOTELS & RESORTS INC (PK). This can be considered as Overvalued.
How profitable is PARK HOTELS & RESORTS INC (PK) stock?
PARK HOTELS & RESORTS INC (PK) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for PK stock?
The Earnings per Share (EPS) of PARK HOTELS & RESORTS INC (PK) is expected to decline by -132.02% in the next year.