H WORLD GROUP LTD-ADR (HTHT) Stock Fundamental Analysis
USA - NASDAQ:HTHT - US44332N1063 - ADR
36.83 USD
-0.33 (-0.89%)
36.83 USD
0 (0%)
HTHT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 133 industry peers in the Hotels, Restaurants & Leisure industry. While HTHT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. HTHT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
HTHT had positive earnings in the past year.
HTHT had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: HTHT reported negative net income in multiple years.
Each year in the past 5 years HTHT had a positive operating cash flow.
1.2 Ratios
HTHT's Return On Assets of 5.80% is fine compared to the rest of the industry. HTHT outperforms 72.93% of its industry peers.
HTHT's Return On Equity of 30.94% is amongst the best of the industry. HTHT outperforms 84.96% of its industry peers.
The Return On Invested Capital of HTHT (8.65%) is better than 67.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.8% | ||
| ROE | 30.94% | ||
| ROIC | 8.65% |
ROA(3y)2.78%
ROA(5y)0.85%
ROE(3y)12.61%
ROE(5y)2.85%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of HTHT (15.48%) is better than 89.47% of its industry peers.
In the last couple of years the Profit Margin of HTHT has declined.
HTHT has a Operating Margin of 22.62%. This is amongst the best in the industry. HTHT outperforms 85.71% of its industry peers.
In the last couple of years the Operating Margin of HTHT has grown nicely.
HTHT has a better Gross Margin (66.94%) than 81.95% of its industry peers.
HTHT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.62% | ||
| PM (TTM) | 15.48% | ||
| GM | 66.94% |
OM growth 3Y156.97%
OM growth 5Y2.97%
PM growth 3YN/A
PM growth 5Y-4.16%
GM growth 3Y5.3%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HTHT is still creating some value.
HTHT has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, HTHT has more shares outstanding
HTHT has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.57, we must say that HTHT is in the distress zone and has some risk of bankruptcy.
HTHT has a Altman-Z score of 1.57. This is comparable to the rest of the industry: HTHT outperforms 46.62% of its industry peers.
HTHT has a debt to FCF ratio of 1.56. This is a very positive value and a sign of high solvency as it would only need 1.56 years to pay back of all of its debts.
HTHT has a better Debt to FCF ratio (1.56) than 85.71% of its industry peers.
HTHT has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
HTHT has a Debt to Equity ratio of 0.32. This is in the better half of the industry: HTHT outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.56 | ||
| Altman-Z | 1.57 |
ROIC/WACC1.32
WACC6.55%
2.3 Liquidity
A Current Ratio of 0.81 indicates that HTHT may have some problems paying its short term obligations.
The Current ratio of HTHT (0.81) is comparable to the rest of the industry.
HTHT has a Quick Ratio of 0.81. This is a bad value and indicates that HTHT is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.81, HTHT perfoms like the industry average, outperforming 47.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The earnings per share for HTHT have decreased strongly by -13.45% in the last year.
Measured over the past years, HTHT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.62% on average per year.
Looking at the last year, HTHT shows a small growth in Revenue. The Revenue has grown by 4.24% in the last year.
Measured over the past years, HTHT shows a quite strong growth in Revenue. The Revenue has been growing by 16.33% on average per year.
EPS 1Y (TTM)-13.45%
EPS 3YN/A
EPS 5Y9.62%
EPS Q2Q%-2.94%
Revenue 1Y (TTM)4.24%
Revenue growth 3Y23.17%
Revenue growth 5Y16.33%
Sales Q2Q%4.52%
3.2 Future
Based on estimates for the next years, HTHT will show a very strong growth in Earnings Per Share. The EPS will grow by 22.69% on average per year.
HTHT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.48% yearly.
EPS Next Y44.82%
EPS Next 2Y28.1%
EPS Next 3Y22.69%
EPS Next 5YN/A
Revenue Next Year5.35%
Revenue Next 2Y5.94%
Revenue Next 3Y6.48%
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.
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
The Price/Earnings ratio is 24.07, which indicates a rather expensive current valuation of HTHT.
Based on the Price/Earnings ratio, HTHT is valued a bit cheaper than the industry average as 63.16% of the companies are valued more expensively.
HTHT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.27.
With a Price/Forward Earnings ratio of 15.61, HTHT is valued correctly.
Based on the Price/Forward Earnings ratio, HTHT is valued a bit cheaper than the industry average as 69.92% of the companies are valued more expensively.
HTHT is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.77, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.07 | ||
| Fwd PE | 15.61 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HTHT indicates a somewhat cheap valuation: HTHT is cheaper than 60.15% of the companies listed in the same industry.
HTHT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HTHT is cheaper than 90.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.85 | ||
| EV/EBITDA | 11.37 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of HTHT may justify a higher PE ratio.
HTHT's earnings are expected to grow with 22.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)2.5
EPS Next 2Y28.1%
EPS Next 3Y22.69%
5. Dividend
5.1 Amount
HTHT has a Yearly Dividend Yield of 4.75%, which is a nice return.
HTHT's Dividend Yield is rather good when compared to the industry average which is at 3.93. HTHT pays more dividend than 92.48% of the companies in the same industry.
HTHT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
5.2 History
The dividend of HTHT is nicely growing with an annual growth rate of 37.96%!
HTHT has been paying a dividend for over 5 years, so it has already some track record.
The dividend of HTHT decreased recently.
Dividend Growth(5Y)37.96%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
93.75% of the earnings are spent on dividend by HTHT. This is not a sustainable payout ratio.
HTHT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP93.75%
EPS Next 2Y28.1%
EPS Next 3Y22.69%
36.83
-0.33 (-0.89%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners23.19%
Inst Owner Change-16.08%
Ins Owners29.47%
Ins Owner ChangeN/A
Market Cap11.30B
Analysts85
Price Target38.41 (4.29%)
Short Float %6.63%
Short Ratio6.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.75% |
Yearly Dividend1.65
Dividend Growth(5Y)37.96%
DP93.75%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.22%
Min EPS beat(2)-20.12%
Max EPS beat(2)1.67%
EPS beat(4)1
Avg EPS beat(4)-28.1%
Min EPS beat(4)-88.47%
Max EPS beat(4)1.67%
EPS beat(8)3
Avg EPS beat(8)-1.09%
EPS beat(12)5
Avg EPS beat(12)-21.37%
EPS beat(16)6
Avg EPS beat(16)-27.51%
Revenue beat(2)0
Avg Revenue beat(2)-1.7%
Min Revenue beat(2)-3.23%
Max Revenue beat(2)-0.17%
Revenue beat(4)1
Avg Revenue beat(4)-0.99%
Min Revenue beat(4)-3.95%
Max Revenue beat(4)3.38%
Revenue beat(8)3
Avg Revenue beat(8)0.09%
Revenue beat(12)3
Avg Revenue beat(12)-1.04%
Revenue beat(16)4
Avg Revenue beat(16)-1.22%
PT rev (1m)16.56%
PT rev (3m)4.28%
EPS NQ rev (1m)-3.85%
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.09%
EPS NY rev (3m)1.09%
Revenue NQ rev (1m)-0.93%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.42%
Revenue NY rev (3m)-1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.07 | ||
| Fwd PE | 15.61 | ||
| P/S | 3.32 | ||
| P/FCF | 11.85 | ||
| P/OCF | 10.54 | ||
| P/B | 6.63 | ||
| P/tB | 57.8 | ||
| EV/EBITDA | 11.37 |
EPS(TTM)1.53
EY4.15%
EPS(NY)2.36
Fwd EY6.41%
FCF(TTM)3.11
FCFY8.44%
OCF(TTM)3.49
OCFY9.48%
SpS11.11
BVpS5.56
TBVpS0.64
PEG (NY)0.54
PEG (5Y)2.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.8% | ||
| ROE | 30.94% | ||
| ROCE | 12.1% | ||
| ROIC | 8.65% | ||
| ROICexc | 11.91% | ||
| ROICexgc | 17.69% | ||
| OM | 22.62% | ||
| PM (TTM) | 15.48% | ||
| GM | 66.94% | ||
| FCFM | 27.97% |
ROA(3y)2.78%
ROA(5y)0.85%
ROE(3y)12.61%
ROE(5y)2.85%
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 3Y224.7%
ROICexcg growth 5Y20.59%
ROICexc growth 3Y224.02%
ROICexc growth 5Y16.7%
OM growth 3Y156.97%
OM growth 5Y2.97%
PM growth 3YN/A
PM growth 5Y-4.16%
GM growth 3Y5.3%
GM growth 5Y-0.14%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.56 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 65.55% | ||
| Cap/Sales | 3.47% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 112.63% | ||
| Profit Quality | 180.67% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 1.57 |
F-Score6
WACC6.55%
ROIC/WACC1.32
Cap/Depr(3y)67.82%
Cap/Depr(5y)89.02%
Cap/Sales(3y)5.16%
Cap/Sales(5y)9.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-13.45%
EPS 3YN/A
EPS 5Y9.62%
EPS Q2Q%-2.94%
EPS Next Y44.82%
EPS Next 2Y28.1%
EPS Next 3Y22.69%
EPS Next 5YN/A
Revenue 1Y (TTM)4.24%
Revenue growth 3Y23.17%
Revenue growth 5Y16.33%
Sales Q2Q%4.52%
Revenue Next Year5.35%
Revenue Next 2Y5.94%
Revenue Next 3Y6.48%
Revenue Next 5YN/A
EBIT growth 1Y4.77%
EBIT growth 3Y216.51%
EBIT growth 5Y19.79%
EBIT Next Year41.03%
EBIT Next 3Y18.48%
EBIT Next 5YN/A
FCF growth 1Y44.53%
FCF growth 3YN/A
FCF growth 5Y30.32%
OCF growth 1Y36.89%
OCF growth 3Y77.6%
OCF growth 5Y17.95%