Hersha Hospitality Trust (HT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HT - US4278255009 - REIT
9.99 USD
-0.01 (-0.1%)
9.995 USD
+0 (+0.05%)
Taking everything into account, HT scores 3 out of 10 in our fundamental rating. HT was compared to 126 industry peers in the Diversified REITs industry. The financial health of HT is average, but there are quite some concerns on its profitability. HT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HT was profitable.
HT had a positive operating cash flow in the past year.
1.2 Ratios
With a Return On Assets value of 0.66%, HT perfoms like the industry average, outperforming 50.39% of the companies in the same industry.
With a Return On Equity value of 1.40%, HT perfoms like the industry average, outperforming 45.74% of the companies in the same industry.
With a Return On Invested Capital value of 1.68%, HT is not doing good in the industry: 69.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.66% | ||
| ROE | 1.4% | ||
| ROIC | 1.68% |
ROA(3y)-1.59%
ROA(5y)-1.35%
ROE(3y)-7.91%
ROE(5y)-5.77%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HT's Profit Margin of 2.54% is in line compared to the rest of the industry. HT outperforms 44.19% of its industry peers.
In the last couple of years the Profit Margin of HT has grown nicely.
HT has a Operating Margin of 7.75%. This is amonst the worse of the industry: HT underperforms 83.72% of its industry peers.
HT's Operating Margin has declined in the last couple of years.
The Gross Margin of HT (30.04%) is worse than 90.70% of its industry peers.
HT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.75% | ||
| PM (TTM) | 2.54% | ||
| GM | 30.04% |
OM growth 3Y5.9%
OM growth 5Y-2.93%
PM growth 3YN/A
PM growth 5Y14.8%
GM growth 3Y1.03%
GM growth 5Y-0.4%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HT is destroying value.
Compared to 1 year ago, HT has more shares outstanding
The debt/assets ratio for HT has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.22, we must say that HT is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.22, HT is doing worse than 71.32% of the companies in the same industry.
The Debt to FCF ratio of HT is 25.66, which is on the high side as it means it would take HT, 25.66 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 25.66, HT is in the better half of the industry, outperforming 62.79% of the companies in the same industry.
HT has a Debt/Equity ratio of 0.88. This is a neutral value indicating HT is somewhat dependend on debt financing.
The Debt to Equity ratio of HT (0.88) is better than 62.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 25.66 | ||
| Altman-Z | 0.22 |
ROIC/WACC0.24
WACC7.12%
2.3 Liquidity
A Current Ratio of 2.39 indicates that HT has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.39, HT belongs to the best of the industry, outperforming 82.95% of the companies in the same industry.
A Quick Ratio of 2.39 indicates that HT has no problem at all paying its short term obligations.
HT's Quick ratio of 2.39 is amongst the best of the industry. HT outperforms 82.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.39 | ||
| Quick Ratio | 2.39 |
3. Growth
3.1 Past
HT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 110.56%, which is quite impressive.
Measured over the past years, HT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.73% on average per year.
The Revenue for HT has decreased by -10.28% in the past year. This is quite bad
The Revenue has been decreasing by -4.02% on average over the past years.
EPS 1Y (TTM)110.56%
EPS 3YN/A
EPS 5Y10.73%
EPS Q2Q%81.67%
Revenue 1Y (TTM)-10.28%
Revenue growth 3Y-8.51%
Revenue growth 5Y-4.02%
Sales Q2Q%-11.71%
3.2 Future
HT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 64.16% yearly.
The Revenue is expected to decrease by -0.82% on average over the next years.
EPS Next Y-41.37%
EPS Next 2Y-13.42%
EPS Next 3Y64.16%
EPS Next 5YN/A
Revenue Next Year-10.87%
Revenue Next 2Y-3.54%
Revenue Next 3Y-0.82%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
HT is valuated quite expensively with a Price/Earnings ratio of 58.76.
Compared to the rest of the industry, the Price/Earnings ratio of HT is on the same level as its industry peers.
HT's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.19.
HT is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.76 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HT is valued cheaper than 89.15% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HT indicates a somewhat cheap valuation: HT is cheaper than 74.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.74 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
HT's earnings are expected to grow with 64.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)5.48
EPS Next 2Y-13.42%
EPS Next 3Y64.16%
5. Dividend
5.1 Amount
HT has a Yearly Dividend Yield of 2.00%.
With a Dividend Yield of 2.00, HT pays less dividend than the industry average, which is at 6.86. 85.27% of the companies listed in the same industry pay a better dividend than HT!
HT's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
5.2 History
The dividend of HT decreases each year by -19.88%.
HT has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-19.88%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
HT pays out 618.48% of its income as dividend. This is not a sustainable payout ratio.
DP618.48%
EPS Next 2Y-13.42%
EPS Next 3Y64.16%
9.99
-0.01 (-0.1%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners0.13%
Inst Owner Change0%
Ins Owners0.05%
Ins Owner Change0%
Market Cap402.60M
Revenue(TTM)361.50M
Net Income(TTM)9.20M
Analysts49.41
Price Target9.88 (-1.1%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
Yearly Dividend0.67
Dividend Growth(5Y)-19.88%
DP618.48%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)365.77%
Min EPS beat(2)54.84%
Max EPS beat(2)676.7%
EPS beat(4)4
Avg EPS beat(4)388.16%
Min EPS beat(4)4.5%
Max EPS beat(4)816.6%
EPS beat(8)7
Avg EPS beat(8)183.57%
EPS beat(12)10
Avg EPS beat(12)122.52%
EPS beat(16)10
Avg EPS beat(16)84.32%
Revenue beat(2)0
Avg Revenue beat(2)-2.09%
Min Revenue beat(2)-2.46%
Max Revenue beat(2)-1.71%
Revenue beat(4)0
Avg Revenue beat(4)-2.76%
Min Revenue beat(4)-4.46%
Max Revenue beat(4)-1.71%
Revenue beat(8)2
Avg Revenue beat(8)-2.03%
Revenue beat(12)4
Avg Revenue beat(12)-2.82%
Revenue beat(16)4
Avg Revenue beat(16)-5.43%
PT rev (1m)0%
PT rev (3m)1.31%
EPS NQ rev (1m)23.08%
EPS NQ rev (3m)23.08%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.53%
Revenue NQ rev (1m)-4.26%
Revenue NQ rev (3m)-4.41%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.76 | ||
| Fwd PE | N/A | ||
| P/S | 1.11 | ||
| P/FCF | 17.74 | ||
| P/OCF | 6.97 | ||
| P/B | 0.61 | ||
| P/tB | 0.61 | ||
| EV/EBITDA | 9.78 |
EPS(TTM)0.17
EY1.7%
EPS(NY)-0.66
Fwd EYN/A
FCF(TTM)0.56
FCFY5.64%
OCF(TTM)1.43
OCFY14.36%
SpS8.97
BVpS16.34
TBVpS16.32
PEG (NY)N/A
PEG (5Y)5.48
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.66% | ||
| ROE | 1.4% | ||
| ROCE | 2.12% | ||
| ROIC | 1.68% | ||
| ROICexc | 1.88% | ||
| ROICexgc | 1.91% | ||
| OM | 7.75% | ||
| PM (TTM) | 2.54% | ||
| GM | 30.04% | ||
| FCFM | 6.28% |
ROA(3y)-1.59%
ROA(5y)-1.35%
ROE(3y)-7.91%
ROE(5y)-5.77%
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
ROICexgc growth 3Y16.11%
ROICexgc growth 5Y4.4%
ROICexc growth 3Y15.5%
ROICexc growth 5Y4.24%
OM growth 3Y5.9%
OM growth 5Y-2.93%
PM growth 3YN/A
PM growth 5Y14.8%
GM growth 3Y1.03%
GM growth 5Y-0.4%
F-Score5
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 25.66 | ||
| Debt/EBITDA | 6.79 | ||
| Cap/Depr | 60.73% | ||
| Cap/Sales | 9.71% | ||
| Interest Coverage | 0.63 | ||
| Cash Conversion | 67.37% | ||
| Profit Quality | 246.74% | ||
| Current Ratio | 2.39 | ||
| Quick Ratio | 2.39 | ||
| Altman-Z | 0.22 |
F-Score5
WACC7.12%
ROIC/WACC0.24
Cap/Depr(3y)24.22%
Cap/Depr(5y)56.3%
Cap/Sales(3y)8.13%
Cap/Sales(5y)12.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)110.56%
EPS 3YN/A
EPS 5Y10.73%
EPS Q2Q%81.67%
EPS Next Y-41.37%
EPS Next 2Y-13.42%
EPS Next 3Y64.16%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.28%
Revenue growth 3Y-8.51%
Revenue growth 5Y-4.02%
Sales Q2Q%-11.71%
Revenue Next Year-10.87%
Revenue Next 2Y-3.54%
Revenue Next 3Y-0.82%
Revenue Next 5YN/A
EBIT growth 1Y-19.54%
EBIT growth 3Y-3.11%
EBIT growth 5Y-6.83%
EBIT Next Year194.17%
EBIT Next 3Y50.08%
EBIT Next 5YN/A
FCF growth 1Y191.9%
FCF growth 3Y-1.25%
FCF growth 5YN/A
OCF growth 1Y566.13%
OCF growth 3Y-9.82%
OCF growth 5Y-6.73%
Hersha Hospitality Trust / HT FAQ
Can you provide the ChartMill fundamental rating for Hersha Hospitality Trust?
ChartMill assigns a fundamental rating of 4 / 10 to HT.
What is the valuation status for HT stock?
ChartMill assigns a valuation rating of 3 / 10 to Hersha Hospitality Trust (HT). This can be considered as Overvalued.
How profitable is Hersha Hospitality Trust (HT) stock?
Hersha Hospitality Trust (HT) has a profitability rating of 3 / 10.
What is the valuation of Hersha Hospitality Trust based on its PE and PB ratios?
The Price/Earnings (PE) ratio for Hersha Hospitality Trust (HT) is 58.76 and the Price/Book (PB) ratio is 0.61.
Is the dividend of Hersha Hospitality Trust sustainable?
The dividend rating of Hersha Hospitality Trust (HT) is 2 / 10 and the dividend payout ratio is 618.48%.