PARK HOTELS & RESORTS INC (PK) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PK - US7005171050 - REIT
11.4 USD
-0.08 (-0.7%)
11.4144 USD
+0.01 (+0.13%)
Overall PK gets a fundamental rating of 3 out of 10. We evaluated PK against 126 industry peers in the Diversified REITs industry. PK has a bad profitability rating. Also its financial health evaluation is rather negative. PK does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
PK had negative earnings in the past year.
PK had a positive operating cash flow in the past year.
In multiple years PK reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: PK reported negative operating cash flow in multiple years.
1.2 Ratios
PK has a worse Return On Assets (-0.14%) than 60.32% of its industry peers.
PK has a Return On Equity of -0.35%. This is in the lower half of the industry: PK underperforms 60.32% of its industry peers.
PK's Return On Invested Capital of 1.93% is on the low side compared to the rest of the industry. PK is outperformed by 66.67% of its industry peers.
PK had an Average Return On Invested Capital over the past 3 years of 2.67%. This is in line with the industry average of 3.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.14% | ||
| ROE | -0.35% | ||
| ROIC | 1.93% |
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
PK's Profit Margin has declined in the last couple of years.
PK's Operating Margin of 8.36% is on the low side compared to the rest of the industry. PK is outperformed by 77.78% of its industry peers.
In the last couple of years the Operating Margin of PK has declined.
Looking at the Gross Margin, with a value of 64.88%, PK is in line with its industry, outperforming 41.27% of the companies in the same industry.
PK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.36% | ||
| PM (TTM) | N/A | ||
| GM | 64.88% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PK is destroying value.
The number of shares outstanding for PK has been reduced compared to 1 year ago.
PK has less shares outstanding than it did 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 has a Altman-Z score (0.47) which is comparable to the rest of the industry.
PK has a debt to FCF ratio of 37.41. This is a negative value and a sign of low solvency as PK would need 37.41 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 37.41, PK is in the better half of the industry, outperforming 73.02% of the companies in the same industry.
A Debt/Equity ratio of 1.35 is on the high side and indicates that PK has dependencies on debt financing.
PK has a Debt to Equity ratio (1.35) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 37.41 | ||
| Altman-Z | 0.47 |
ROIC/WACC0.33
WACC5.82%
2.3 Liquidity
A Current Ratio of 0.53 indicates that PK may have some problems paying its short term obligations.
With a Current ratio value of 0.53, PK is not doing good in the industry: 80.16% of the companies in the same industry are doing better.
A Quick Ratio of 0.53 indicates that PK may have some problems paying its short term obligations.
PK has a worse Quick ratio (0.53) than 80.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The earnings per share for PK have decreased strongly by -104.43% in the last year.
The Earnings Per Share has been decreasing by -6.46% on average over the past years.
Looking at the last year, PK shows a decrease in Revenue. The Revenue has decreased by -3.57% in the last year.
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
The Earnings Per Share is expected to grow by 13.66% on average over the next years. This is quite good.
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-140.54%
EPS Next 2Y-41.29%
EPS Next 3Y-23.83%
EPS Next 5Y13.66%
Revenue Next Year-1.99%
Revenue Next 2Y0.02%
Revenue Next 3Y1.31%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for PK. In the last year negative earnings were reported.
With a Price/Forward Earnings ratio of 32.75, 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 somewhat cheap valuation: PK is cheaper than 73.81% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PK to the average of the S&P500 Index (23.92), we can say PK is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 32.75 |
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 73.02% of the companies listed in the same industry.
79.37% of the companies in the same industry are more expensive than PK, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.68 | ||
| EV/EBITDA | 12.05 |
4.3 Compensation for Growth
A cheap valuation may be justified as PK's earnings are expected to decrease with -23.83% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-41.29%
EPS Next 3Y-23.83%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.97%, PK is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.86, PK pays a better dividend. On top of this PK pays more dividend than 86.51% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.92, PK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.97% |
5.2 History
The dividend of PK has a limited annual growth rate of 2.02%.
PK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)2.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of PK are negative and hence is the payout ratio. PK will probably not be able to sustain this dividend level.
The dividend of PK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-2358.33%
EPS Next 2Y-41.29%
EPS Next 3Y-23.83%
11.4
-0.08 (-0.7%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners108.61%
Inst Owner Change0.24%
Ins Owners2.22%
Ins Owner Change0.46%
Market Cap2.28B
Revenue(TTM)2.54B
Net Income(TTM)-12.00M
Analysts53.33
Price Target12.12 (6.32%)
Short Float %18.77%
Short Ratio9.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.97% |
Yearly Dividend2.48
Dividend Growth(5Y)2.02%
DP-2358.33%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-233.64%
Min EPS beat(2)-358.9%
Max EPS beat(2)-108.38%
EPS beat(4)1
Avg EPS beat(4)-140.53%
Min EPS beat(4)-538.56%
Max EPS beat(4)443.72%
EPS beat(8)5
Avg EPS beat(8)-1.33%
EPS beat(12)8
Avg EPS beat(12)-12.4%
EPS beat(16)11
Avg EPS beat(16)15.88%
Revenue beat(2)0
Avg Revenue beat(2)-2.43%
Min Revenue beat(2)-2.6%
Max Revenue beat(2)-2.25%
Revenue beat(4)1
Avg Revenue beat(4)-1.26%
Min Revenue beat(4)-2.6%
Max Revenue beat(4)0.03%
Revenue beat(8)1
Avg Revenue beat(8)-1.82%
Revenue beat(12)2
Avg Revenue beat(12)-1.44%
Revenue beat(16)4
Avg Revenue beat(16)-0.43%
PT rev (1m)-0.64%
PT rev (3m)-0.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)13.21%
EPS NY rev (1m)0%
EPS NY rev (3m)-314.06%
Revenue NQ rev (1m)-0.89%
Revenue NQ rev (3m)-1.85%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 32.75 | ||
| P/S | 0.9 | ||
| P/FCF | 18.68 | ||
| P/OCF | 6.11 | ||
| P/B | 0.67 | ||
| P/tB | 0.68 | ||
| EV/EBITDA | 12.05 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.35
Fwd EY3.05%
FCF(TTM)0.61
FCFY5.35%
OCF(TTM)1.87
OCFY16.37%
SpS12.69
BVpS16.92
TBVpS16.71
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.14% | ||
| ROE | -0.35% | ||
| ROCE | 2.63% | ||
| ROIC | 1.93% | ||
| ROICexc | 2% | ||
| ROICexgc | 2.03% | ||
| OM | 8.36% | ||
| PM (TTM) | N/A | ||
| GM | 64.88% | ||
| FCFM | 4.81% |
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-Score4
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 37.41 | ||
| Debt/EBITDA | 8.36 | ||
| Cap/Depr | 75.15% | ||
| Cap/Sales | 9.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.32% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.47 |
F-Score4
WACC5.82%
ROIC/WACC0.33
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-140.54%
EPS Next 2Y-41.29%
EPS Next 3Y-23.83%
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-1.99%
Revenue Next 2Y0.02%
Revenue Next 3Y1.31%
Revenue Next 5Y3.57%
EBIT growth 1Y-36.14%
EBIT growth 3YN/A
EBIT growth 5Y-5.99%
EBIT Next Year61.7%
EBIT Next 3Y19.94%
EBIT Next 5YN/A
FCF growth 1Y-35.11%
FCF growth 3YN/A
FCF growth 5Y-4.85%
OCF growth 1Y-16.55%
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.
What is the valuation status for PK stock?
ChartMill assigns a valuation rating of 2 / 10 to PARK HOTELS & RESORTS INC (PK). This can be considered as Overvalued.
How profitable is PARK HOTELS & RESORTS INC (PK) stock?
PARK HOTELS & RESORTS INC (PK) has a profitability rating of 2 / 10.
What is the earnings growth outlook for PARK HOTELS & RESORTS INC?
The Earnings per Share (EPS) of PARK HOTELS & RESORTS INC (PK) is expected to decline by -140.54% in the next year.