PARK HOTELS & RESORTS INC (PK) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PK - US7005171050 - REIT
11.48 USD
+0.33 (+2.96%)
11.48 USD
0 (0%)
Overall PK gets a fundamental rating of 3 out of 10. We evaluated PK against 127 industry peers in the Diversified REITs industry. PK may be in some trouble as it scores bad on both profitability and health. PK has a expensive valuation and it also scores bad on growth.
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
With a Return On Assets value of -0.14%, PK is not doing good in the industry: 60.63% of the companies in the same industry are doing better.
PK has a Return On Equity of -0.35%. This is in the lower half of the industry: PK underperforms 60.63% 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 66.93% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PK 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.
With a Operating Margin value of 8.36%, PK is not doing good in the industry: 77.95% of the companies in the same industry are doing better.
PK's Operating Margin has declined in the last couple of years.
The Gross Margin of PK (64.88%) 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 | 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PK is destroying value.
PK has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PK has less shares outstanding
The debt/assets ratio for PK is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.46, we must say that PK is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.46, PK perfoms like the industry average, outperforming 48.03% of the companies in the same industry.
The Debt to FCF ratio of PK is 37.41, which is on the high side as it means it would take PK, 37.41 years of fcf income to pay off all of its debts.
PK has a better Debt to FCF ratio (37.41) than 72.44% of its industry peers.
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 of 1.35. This is comparable to the rest of the industry: PK outperforms 48.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 37.41 | ||
| Altman-Z | 0.46 |
ROIC/WACC0.33
WACC5.79%
2.3 Liquidity
A Current Ratio of 0.53 indicates that PK may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.53, PK is doing worse than 80.31% of the companies in the same industry.
A Quick Ratio of 0.53 indicates that PK may have some problems paying its short term obligations.
With a Quick ratio value of 0.53, PK is not doing good in the industry: 80.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
PK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -104.43%.
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-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
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
PK reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 32.98, which means the current valuation is very expensive for PK.
74.02% of the companies in the same industry are more expensive than PK, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.88. PK is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 32.98 |
4.2 Price Multiples
PK's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PK is cheaper than 73.23% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PK indicates a somewhat cheap valuation: PK is cheaper than 79.53% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.81 | ||
| EV/EBITDA | 11.93 |
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 9.56%, PK is a good candidate for dividend investing.
PK's Dividend Yield is rather good when compared to the industry average which is at 6.85. PK pays more dividend than 88.19% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.90, 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 2.02%.
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
PK has negative earnings and hence a negative payout ratio. The dividend may be in danger.
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%
11.48
+0.33 (+2.96%)
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%
Ins Owners2.22%
Ins Owner Change0.46%
Market Cap2.29B
Revenue(TTM)2.54B
Net Income(TTM)-12.00M
Analysts53.33
Price Target12.12 (5.57%)
Short Float %18.77%
Short Ratio9.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.56% |
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%
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)-2.35%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 32.98 | ||
| P/S | 0.9 | ||
| P/FCF | 18.81 | ||
| P/OCF | 6.15 | ||
| P/B | 0.68 | ||
| P/tB | 0.69 | ||
| EV/EBITDA | 11.93 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.35
Fwd EY3.03%
FCF(TTM)0.61
FCFY5.32%
OCF(TTM)1.87
OCFY16.25%
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 | 0.46 |
F-Score4
WACC5.79%
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.