INTERCONTINENTAL HOTELS-ADR (IHG) Stock Fundamental Analysis

NYSE:IHG • US45857P8068

139.04 USD
-4.02 (-2.81%)
At close: Feb 27, 2026
139.04 USD
0 (0%)
After Hours: 2/27/2026, 8:10:55 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

Taking everything into account, IHG scores 4 out of 10 in our fundamental rating. IHG was compared to 126 industry peers in the Hotels, Restaurants & Leisure industry. IHG scores excellent on profitability, but there are concerns on its financial health. IHG is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year IHG was profitable.
  • IHG had a positive operating cash flow in the past year.
  • IHG had positive earnings in each of the past 5 years.
  • Each year in the past 5 years IHG had a positive operating cash flow.
IHG Yearly Net Income VS EBIT VS OCF VS FCFIHG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B

1.2 Ratios

  • IHG has a better Return On Assets (14.18%) than 90.48% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 26.34%, IHG belongs to the top of the industry, outperforming 96.03% of the companies in the same industry.
Industry RankSector Rank
ROA 14.18%
ROE N/A
ROIC 26.34%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
IHG Yearly ROA, ROE, ROICIHG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40

1.3 Margins

  • IHG has a Profit Margin of 14.61%. This is amongst the best in the industry. IHG outperforms 84.92% of its industry peers.
  • IHG's Profit Margin has improved in the last couple of years.
  • IHG has a better Operating Margin (23.41%) than 86.51% of its industry peers.
  • In the last couple of years the Operating Margin of IHG has grown nicely.
  • IHG has a worse Gross Margin (31.26%) than 74.60% of its industry peers.
  • IHG's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 23.41%
PM (TTM) 14.61%
GM 31.26%
OM growth 3Y8.19%
OM growth 5Y38.45%
PM growth 3Y14.88%
PM growth 5YN/A
GM growth 3Y3.73%
GM growth 5Y8.31%
IHG Yearly Profit, Operating, Gross MarginsIHG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IHG is creating value.
  • IHG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
IHG Yearly Shares OutstandingIHG Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
IHG Yearly Total Debt VS Total AssetsIHG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

  • An Altman-Z score of 2.55 indicates that IHG is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 2.55, IHG is in the better half of the industry, outperforming 68.25% of the companies in the same industry.
  • IHG has a debt to FCF ratio of 6.57. This is a slightly negative value and a sign of low solvency as IHG would need 6.57 years to pay back of all of its debts.
  • IHG has a Debt to FCF ratio of 6.57. This is in the better half of the industry: IHG outperforms 70.63% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 6.57
Altman-Z 2.55
ROIC/WACC2.86
WACC9.2%
IHG Yearly LT Debt VS Equity VS FCFIHG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B -2B 3B

2.3 Liquidity

  • IHG has a Current Ratio of 0.98. This is a bad value and indicates that IHG is not financially healthy enough and could expect problems in meeting its short term obligations.
  • IHG has a Current ratio (0.98) which is comparable to the rest of the industry.
  • A Quick Ratio of 0.97 indicates that IHG may have some problems paying its short term obligations.
  • IHG has a Quick ratio (0.97) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 0.98
Quick Ratio 0.97
IHG Yearly Current Assets VS Current LiabilitesIHG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • IHG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.04%, which is quite good.
  • IHG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 74.14% yearly.
  • IHG shows a small growth in Revenue. In the last year, the Revenue has grown by 5.40%.
  • IHG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.73% yearly.
EPS 1Y (TTM)16.04%
EPS 3Y21.43%
EPS 5Y74.14%
EPS Q2Q%13.51%
Revenue 1Y (TTM)5.4%
Revenue growth 3Y10.06%
Revenue growth 5Y16.73%
Sales Q2Q%121.76%

3.2 Future

  • IHG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.89% yearly.
  • Based on estimates for the next years, IHG will show a decrease in Revenue. The Revenue will decrease by -9.44% on average per year.
EPS Next Y16.15%
EPS Next 2Y14.4%
EPS Next 3Y18.56%
EPS Next 5Y8.89%
Revenue Next Year5.62%
Revenue Next 2Y5.52%
Revenue Next 3Y-16.85%
Revenue Next 5Y-9.44%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less 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.
IHG Yearly Revenue VS EstimatesIHG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B
IHG Yearly EPS VS EstimatesIHG Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6 8

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 27.16 indicates a quite expensive valuation of IHG.
  • IHG's Price/Earnings is on the same level as the industry average.
  • The average S&P500 Price/Earnings ratio is at 27.10. IHG is around the same levels.
  • Based on the Price/Forward Earnings ratio of 23.36, the valuation of IHG can be described as rather expensive.
  • IHG's Price/Forward Earnings is on the same level as the industry average.
  • IHG's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.06.
Industry RankSector Rank
PE 27.16
Fwd PE 23.36
IHG Price Earnings VS Forward Price EarningsIHG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • IHG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. IHG is more expensive than 68.25% of the companies in the same industry.
  • IHG's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 29.85
EV/EBITDA 19.5
IHG Per share dataIHG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20

4.3 Compensation for Growth

  • IHG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of IHG may justify a higher PE ratio.
  • A more expensive valuation may be justified as IHG's earnings are expected to grow with 18.56% in the coming years.
PEG (NY)1.68
PEG (5Y)0.37
EPS Next 2Y14.4%
EPS Next 3Y18.56%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • IHG has a Yearly Dividend Yield of 1.30%.
  • Compared to an average industry Dividend Yield of 1.09, IHG pays a bit more dividend than its industry peers.
  • Compared to the average S&P500 Dividend Yield of 1.83, IHG is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.3%

5.2 History

  • The dividend of IHG decreases each year by -16.62%.
  • IHG has been paying a dividend for at least 10 years, so it has a reliable track record.
  • IHG has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-16.62%
Div Incr Years2
Div Non Decr Years2
IHG Yearly Dividends per shareIHG Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2022 2023 2024 2025 1 2 3

5.3 Sustainability

  • IHG pays out 35.62% of its income as dividend. This is a sustainable payout ratio.
DP35.62%
EPS Next 2Y14.4%
EPS Next 3Y18.56%
IHG Yearly Income VS Free CF VS DividendIHG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B
IHG Dividend Payout.IHG Dividend Payout, showing the Payout Ratio.IHG Dividend Payout.PayoutRetained Earnings

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INTERCONTINENTAL HOTELS-ADR

NYSE:IHG (2/27/2026, 8:10:55 PM)

After market: 139.04 0 (0%)

139.04

-4.02 (-2.81%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-17
Earnings (Next)05-07
Inst Owners68.69%
Inst Owner Change4.44%
Ins Owners0.38%
Ins Owner ChangeN/A
Market Cap20.92B
Revenue(TTM)5.19B
Net Income(TTM)758.00M
Analysts70
Price Target9366 (6636.19%)
Short Float %0.55%
Short Ratio3.57
Dividend
Industry RankSector Rank
Dividend Yield 1.3%
Yearly Dividend1.6
Dividend Growth(5Y)-16.62%
DP35.62%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
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)1.87%
PT rev (3m)7995.63%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.72%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)113.25%
Revenue NY rev (3m)113.25%
Valuation
Industry RankSector Rank
PE 27.16
Fwd PE 23.36
P/S 4.03
P/FCF 29.85
P/OCF 23.3
P/B N/A
P/tB N/A
EV/EBITDA 19.5
EPS(TTM)5.12
EY3.68%
EPS(NY)5.95
Fwd EY4.28%
FCF(TTM)4.66
FCFY3.35%
OCF(TTM)5.97
OCFY4.29%
SpS34.48
BVpS-18.21
TBVpS-25.89
PEG (NY)1.68
PEG (5Y)0.37
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 14.18%
ROE N/A
ROCE 37.44%
ROIC 26.34%
ROICexc 40.45%
ROICexgc 89.21%
OM 23.41%
PM (TTM) 14.61%
GM 31.26%
FCFM 13.51%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y8.19%
OM growth 5Y38.45%
PM growth 3Y14.88%
PM growth 5YN/A
GM growth 3Y3.73%
GM growth 5Y8.31%
F-Score7
Asset Turnover0.97
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 6.57
Debt/EBITDA 3.2
Cap/Depr 294.03%
Cap/Sales 3.8%
Interest Coverage 6.01
Cash Conversion 70.05%
Profit Quality 92.48%
Current Ratio 0.98
Quick Ratio 0.97
Altman-Z 2.55
F-Score7
WACC9.2%
ROIC/WACC2.86
Cap/Depr(3y)178.81%
Cap/Depr(5y)147.01%
Cap/Sales(3y)2.38%
Cap/Sales(5y)2.3%
Profit Quality(3y)101.16%
Profit Quality(5y)133.78%
High Growth Momentum
Growth
EPS 1Y (TTM)16.04%
EPS 3Y21.43%
EPS 5Y74.14%
EPS Q2Q%13.51%
EPS Next Y16.15%
EPS Next 2Y14.4%
EPS Next 3Y18.56%
EPS Next 5Y8.89%
Revenue 1Y (TTM)5.4%
Revenue growth 3Y10.06%
Revenue growth 5Y16.73%
Sales Q2Q%121.76%
Revenue Next Year5.62%
Revenue Next 2Y5.52%
Revenue Next 3Y-16.85%
Revenue Next 5Y-9.44%
EBIT growth 1Y16.71%
EBIT growth 3Y19.07%
EBIT growth 5Y61.62%
EBIT Next Year14.75%
EBIT Next 3Y10.64%
EBIT Next 5Y9.08%
FCF growth 1Y8.51%
FCF growth 3Y8.62%
FCF growth 5Y62.96%
OCF growth 1Y24.03%
OCF growth 3Y11.6%
OCF growth 5Y45.65%

INTERCONTINENTAL HOTELS-ADR / IHG FAQ

Can you provide the ChartMill fundamental rating for INTERCONTINENTAL HOTELS-ADR?

ChartMill assigns a fundamental rating of 4 / 10 to IHG.


What is the valuation status for IHG stock?

ChartMill assigns a valuation rating of 3 / 10 to INTERCONTINENTAL HOTELS-ADR (IHG). This can be considered as Overvalued.


Can you provide the profitability details for INTERCONTINENTAL HOTELS-ADR?

INTERCONTINENTAL HOTELS-ADR (IHG) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for IHG stock?

The Price/Earnings (PE) ratio for INTERCONTINENTAL HOTELS-ADR (IHG) is 27.16 and the Price/Book (PB) ratio is -7.63.


What is the expected EPS growth for INTERCONTINENTAL HOTELS-ADR (IHG) stock?

The Earnings per Share (EPS) of INTERCONTINENTAL HOTELS-ADR (IHG) is expected to grow by 16.15% in the next year.