PARK HOTELS & RESORTS INC (PK) Stock Fundamental Analysis
USA - NYSE:PK - US7005171050 - REIT
9.84 USD
-0.19 (-1.89%)
10.02 USD
+0.18 (+1.83%)
We assign a fundamental rating of 3 out of 10 to PK. PK was compared to 128 industry peers in the Diversified REITs industry. PK may be in some trouble as it scores bad on both profitability and health. PK is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PK has reported negative net income.
PK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PK reported negative net income in multiple years.
In multiple years PK reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.64%, PK is in line with its industry, outperforming 50.00% of the companies in the same industry.
PK has a Return On Equity of 1.66%. This is comparable to the rest of the industry: PK outperforms 50.00% of its industry peers.
PK's Return On Invested Capital of 2.26% is in line compared to the rest of the industry. PK outperforms 42.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PK is in line with the industry average of 3.04%.
| 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 46.88% of the companies in the same industry.
PK's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.67%, PK is doing worse than 75.00% of the companies in the same industry.
PK's Operating Margin has declined in the last couple of years.
The Gross Margin of PK (65.37%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of PK has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PK is destroying value.
Compared to 1 year ago, PK has less shares outstanding
The number of shares outstanding for PK has been reduced compared to 5 years ago.
The debt/assets ratio for PK is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.47, we must say that PK is in the distress zone and has some risk of bankruptcy.
PK's Altman-Z score of 0.47 is in line compared to the rest of the industry. PK outperforms 49.22% of its industry peers.
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.
Looking at the Debt to FCF ratio, with a value of 24.28, PK is in the better half of the industry, outperforming 74.22% of the companies in the same industry.
PK has a Debt/Equity ratio of 1.33. This is a high value indicating a heavy dependency on external financing.
PK's Debt to Equity ratio of 1.33 is in line compared to the rest of the industry. PK outperforms 48.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 24.28 | ||
| Altman-Z | 0.47 |
ROIC/WACC0.4
WACC5.69%
2.3 Liquidity
A Current Ratio of 0.60 indicates that PK may have some problems paying its short term obligations.
With a Current ratio value of 0.60, PK is not doing good in the industry: 77.34% of the companies in the same industry are doing better.
A Quick Ratio of 0.60 indicates that PK may have some problems paying its short term obligations.
PK's Quick ratio of 0.60 is on the low side compared to the rest of the industry. PK is outperformed by 77.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for PK have decreased strongly by -104.43% in the last year.
PK shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.46% yearly.
PK shows a decrease in Revenue. In the last year, the revenue decreased by -3.57%.
Measured over the past years, PK shows a decrease in Revenue. The Revenue has been decreasing by -1.79% on average per year.
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
Based on estimates for the next years, PK will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.66% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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.
With a Price/Forward Earnings ratio of 25.05, PK can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PK indicates a rather cheap valuation: PK is cheaper than 82.81% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.08, PK is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.05 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PK indicates a somewhat cheap valuation: PK is cheaper than 76.56% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PK is valued cheaper than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.46 | ||
| EV/EBITDA | 10.94 |
4.3 Compensation for Growth
PK's earnings are expected to decrease with -21.37% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.63%
EPS Next 3Y-21.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.56%, PK is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.50, PK pays a better dividend. On top of this PK pays more dividend than 89.84% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, PK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.56% |
5.2 History
The dividend of PK has a limited annual growth rate of 2.00%.
PK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)2%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PK pays out 501.75% of its income as dividend. 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%
9.84
-0.19 (-1.89%)
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 Change1.27%
Ins Owners1.99%
Ins Owner Change0.59%
Market Cap1.97B
Revenue(TTM)2.54B
Net Income(TTM)57.00M
Analysts70
Price Target12.24 (24.39%)
Short Float %15.62%
Short Ratio8.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.56% |
Yearly Dividend2.48
Dividend Growth(5Y)2%
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)-0.67%
EPS NQ rev (1m)-47.06%
EPS NQ rev (3m)-69.39%
EPS NY rev (1m)-227.08%
EPS NY rev (3m)-462.59%
Revenue NQ rev (1m)-0.41%
Revenue NQ rev (3m)-4.03%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-1.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.05 | ||
| P/S | 0.76 | ||
| P/FCF | 10.46 | ||
| P/OCF | 4.75 | ||
| P/B | 0.57 | ||
| P/tB | 0.58 | ||
| EV/EBITDA | 10.94 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.39
Fwd EY3.99%
FCF(TTM)0.94
FCFY9.56%
OCF(TTM)2.07
OCFY21.05%
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 | 0.47 |
F-Score6
WACC5.69%
ROIC/WACC0.4
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 4 / 10 to PARK HOTELS & RESORTS INC (PK). This can be considered as Fairly Valued.
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.