GREENTREE HOSPITALITY GR-ADR (GHG)
US39579V1008 - ADR
Taking everything into account, GHG scores 5 out of 10 in our fundamental rating. GHG was compared to 134 industry peers in the Hotels, Restaurants & Leisure industry. GHG has an average financial health and profitability rating. GHG may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year GHG was profitable.
In the past year GHG had a positive cash flow from operations.
GHG had positive earnings in 4 of the past 5 years.
In the past 5 years GHG always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.05%, GHG is in line with its industry, outperforming 58.21% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.99%, GHG is in the better half of the industry, outperforming 71.64% of the companies in the same industry.
GHG has a Return On Invested Capital (5.51%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 9.99% | ||
| ROIC | 5.51% |
ROA(3y)0.11%
ROA(5y)3.66%
ROE(3y)-0.49%
ROE(5y)6.95%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of GHG (11.01%) is better than 76.12% of its industry peers.
GHG's Profit Margin has declined in the last couple of years.
The Operating Margin of GHG (21.97%) is better than 82.09% of its industry peers.
GHG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.97% | ||
| PM (TTM) | 11.01% | ||
| GM | N/A |
OM growth 3Y-15.62%
OM growth 5Y-18.04%
PM growth 3Y-16.17%
PM growth 5Y-16.61%
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), GHG is destroying value.
The number of shares outstanding for GHG has been reduced compared to 1 year ago.
GHG has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for GHG has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.82, we must say that GHG is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of GHG (0.82) is worse than 71.64% of its industry peers.
The Debt to FCF ratio of GHG is 1.06, which is an excellent value as it means it would take GHG, only 1.06 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GHG (1.06) is better than 89.55% of its industry peers.
GHG has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
GHG has a Debt to Equity ratio of 0.17. This is in the better half of the industry: GHG outperforms 78.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.06 | ||
| Altman-Z | 0.82 |
ROIC/WACC0.79
WACC6.96%
2.3 Liquidity
A Current Ratio of 1.54 indicates that GHG should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.54, GHG is in the better half of the industry, outperforming 73.13% of the companies in the same industry.
A Quick Ratio of 1.53 indicates that GHG should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.53, GHG is doing good in the industry, outperforming 75.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
GHG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -36.48%.
Measured over the past years, GHG shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.79% on average per year.
The Revenue for GHG has decreased by -18.65% in the past year. This is quite bad
GHG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.44% yearly.
EPS 1Y (TTM)-36.48%
EPS 3Y1.27%
EPS 5Y-6.79%
EPS Q2Q%-26.4%
Revenue 1Y (TTM)-18.65%
Revenue growth 3Y20.5%
Revenue growth 5Y12.44%
Sales Q2Q%-22.54%
3.2 Future
GHG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.04% yearly.
The Revenue is expected to grow by 0.96% on average over the next years.
EPS Next Y-7.54%
EPS Next 2Y7.89%
EPS Next 3Y12.04%
EPS Next 5YN/A
Revenue Next Year-12.6%
Revenue Next 2Y-2.5%
Revenue Next 3Y0.96%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.57, the valuation of GHG can be described as very reasonable.
Based on the Price/Earnings ratio, GHG is valued cheaply inside the industry as 90.30% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.73. GHG is valued rather cheaply when compared to this.
GHG is valuated cheaply with a Price/Forward Earnings ratio of 4.95.
100.00% of the companies in the same industry are more expensive than GHG, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of GHG to the average of the S&P500 Index (22.83), we can say GHG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.57 | ||
| Fwd PE | 4.95 |
4.2 Price Multiples
97.76% of the companies in the same industry are more expensive than GHG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, GHG is valued cheaply inside the industry as 96.27% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.46 | ||
| EV/EBITDA | 1.23 |
4.3 Compensation for Growth
A more expensive valuation may be justified as GHG's earnings are expected to grow with 12.04% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.89%
EPS Next 3Y12.04%
5. Dividend
5.1 Amount
GHG has a Yearly Dividend Yield of 3.40%.
GHG's Dividend Yield is rather good when compared to the industry average which is at 2.82. GHG pays more dividend than 89.55% of the companies in the same industry.
GHG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.24.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.4% |
5.2 History
GHG has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
0.49% of the earnings are spent on dividend by GHG. This is a low number and sustainable payout ratio.
DP0.49%
EPS Next 2Y7.89%
EPS Next 3Y12.04%
GREENTREE HOSPITALITY GR-ADR
NYSE:GHG (12/20/2024, 8:14:40 PM)
2.43
-0.03 (-1.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners7.78%
Inst Owner Change-2.39%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap246.75M
Analysts45
Price Target3.67 (51.03%)
Short Float %0.25%
Short Ratio3.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.4% |
Dividend Growth(5Y)N/A
DP0.49%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)394.44%
EPS NQ rev (3m)394.44%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.57 | ||
| Fwd PE | 4.95 | ||
| P/S | 1.28 | ||
| P/FCF | 7.46 | ||
| P/OCF | 6.29 | ||
| P/B | 1.16 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | 1.23 |
EPS(TTM)0.21
EY8.64%
EPS(NY)0.49
Fwd EY20.22%
FCF(TTM)0.33
FCFY13.41%
OCF(TTM)0.39
OCFY15.9%
SpS1.9
BVpS2.1
TBVpS1.71
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 9.99% | ||
| ROCE | 8% | ||
| ROIC | 5.51% | ||
| ROICexc | 9.13% | ||
| ROICexgc | 10.43% | ||
| OM | 21.97% | ||
| PM (TTM) | 11.01% | ||
| GM | N/A | ||
| FCFM | 17.12% |
ROA(3y)0.11%
ROA(5y)3.66%
ROE(3y)-0.49%
ROE(5y)6.95%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-9.88%
ROICexcg growth 5Y-47.56%
ROICexc growth 3Y-3.94%
ROICexc growth 5Y-46.57%
OM growth 3Y-15.62%
OM growth 5Y-18.04%
PM growth 3Y-16.17%
PM growth 5Y-16.61%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.06 | ||
| Debt/EBITDA | 0.61 | ||
| Cap/Depr | 39.26% | ||
| Cap/Sales | 3.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.51% | ||
| Profit Quality | 155.44% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | 0.82 |
F-Score4
WACC6.96%
ROIC/WACC0.79
Cap/Depr(3y)236.93%
Cap/Depr(5y)283.12%
Cap/Sales(3y)19.78%
Cap/Sales(5y)18.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-36.48%
EPS 3Y1.27%
EPS 5Y-6.79%
EPS Q2Q%-26.4%
EPS Next Y-7.54%
EPS Next 2Y7.89%
EPS Next 3Y12.04%
EPS Next 5YN/A
Revenue 1Y (TTM)-18.65%
Revenue growth 3Y20.5%
Revenue growth 5Y12.44%
Sales Q2Q%-22.54%
Revenue Next Year-12.6%
Revenue Next 2Y-2.5%
Revenue Next 3Y0.96%
Revenue Next 5YN/A
EBIT growth 1Y-21.42%
EBIT growth 3Y1.68%
EBIT growth 5Y-7.85%
EBIT Next Year31.05%
EBIT Next 3Y21.25%
EBIT Next 5YN/A
FCF growth 1Y64.3%
FCF growth 3Y26.17%
FCF growth 5Y-2.35%
OCF growth 1Y55.73%
OCF growth 3Y15.5%
OCF growth 5Y-3.89%