XENIA HOTELS & RESORTS INC (XHR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XHR - US9840171030 - REIT
15.2 USD
-0.09 (-0.59%)
15.2 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to XHR. XHR was compared to 124 industry peers in the Diversified REITs industry. XHR has only an average score on both its financial health and profitability. XHR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- XHR had positive earnings in the past year.
- XHR had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: XHR reported negative net income in multiple years.
- XHR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- The Return On Assets of XHR (1.94%) is better than 61.60% of its industry peers.
- XHR's Return On Equity of 4.74% is fine compared to the rest of the industry. XHR outperforms 64.00% of its industry peers.
- XHR has a Return On Invested Capital (2.92%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for XHR is in line with the industry average of 3.05%.
- The last Return On Invested Capital (2.92%) for XHR is above the 3 year average (2.74%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.74% | ||
| ROIC | 2.92% |
ROA(3y)1.01%
ROA(5y)-1.39%
ROE(3y)2.2%
ROE(5y)-2.79%
ROIC(3y)2.74%
ROIC(5y)N/A
1.3 Margins
- With a Profit Margin value of 5.19%, XHR perfoms like the industry average, outperforming 51.20% of the companies in the same industry.
- In the last couple of years the Profit Margin of XHR has declined.
- XHR has a worse Operating Margin (9.34%) than 74.40% of its industry peers.
- XHR's Operating Margin has declined in the last couple of years.
- The Gross Margin of XHR (54.53%) is worse than 72.00% of its industry peers.
- In the last couple of years the Gross Margin of XHR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.34% | ||
| PM (TTM) | 5.19% | ||
| GM | 54.53% |
OM growth 3YN/A
OM growth 5Y-7.09%
PM growth 3YN/A
PM growth 5Y-20.5%
GM growth 3Y-0.24%
GM growth 5Y-0.93%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), XHR is destroying value.
- Compared to 1 year ago, XHR has less shares outstanding
- The number of shares outstanding for XHR has been reduced compared to 5 years ago.
- XHR has a better debt/assets ratio than last year.
2.2 Solvency
- XHR has an Altman-Z score of 0.71. This is a bad value and indicates that XHR is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.71, XHR is in the better half of the industry, outperforming 60.80% of the companies in the same industry.
- XHR has a debt to FCF ratio of 21.84. This is a negative value and a sign of low solvency as XHR would need 21.84 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 21.84, XHR is in the better half of the industry, outperforming 76.00% of the companies in the same industry.
- A Debt/Equity ratio of 1.21 is on the high side and indicates that XHR has dependencies on debt financing.
- XHR has a Debt to Equity ratio (1.21) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 21.84 | ||
| Altman-Z | 0.71 |
ROIC/WACC0.4
WACC7.27%
2.3 Liquidity
- XHR has a Current Ratio of 1.48. This is a normal value and indicates that XHR is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.48, XHR is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
- XHR has a Quick Ratio of 1.48. This is a normal value and indicates that XHR is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of XHR (1.48) is better than 72.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.48 |
3. Growth
3.1 Past
- XHR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 139.13%, which is quite impressive.
- Measured over the past years, XHR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.70% on average per year.
- The Revenue has been growing slightly by 4.29% in the past year.
- The Revenue has been decreasing by -1.99% on average over the past years.
EPS 1Y (TTM)139.13%
EPS 3YN/A
EPS 5Y-23.7%
EPS Q2Q%-114.29%
Revenue 1Y (TTM)4.29%
Revenue growth 3Y19.02%
Revenue growth 5Y-1.99%
Sales Q2Q%-0.16%
3.2 Future
- Based on estimates for the next years, XHR will show a very strong growth in Earnings Per Share. The EPS will grow by 23.54% on average per year.
- Based on estimates for the next years, XHR will show a small growth in Revenue. The Revenue will grow by 3.74% on average per year.
EPS Next Y172.7%
EPS Next 2Y11.61%
EPS Next 3Y23.54%
EPS Next 5YN/A
Revenue Next Year3.43%
Revenue Next 2Y3.28%
Revenue Next 3Y3.38%
Revenue Next 5Y3.74%
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
- XHR is valuated quite expensively with a Price/Earnings ratio of 27.64.
- Compared to the rest of the industry, the Price/Earnings ratio of XHR indicates a somewhat cheap valuation: XHR is cheaper than 67.20% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, XHR is valued at the same level.
- The Price/Forward Earnings ratio is 81.35, which means the current valuation is very expensive for XHR.
- XHR's Price/Forward Earnings ratio is in line with the industry average.
- XHR is valuated expensively when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.64 | ||
| Fwd PE | 81.35 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, XHR is valued a bit cheaper than 76.80% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, XHR is valued a bit cheaper than 76.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.12 | ||
| EV/EBITDA | 11.54 |
4.3 Compensation for Growth
- XHR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- XHR's earnings are expected to grow with 23.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y11.61%
EPS Next 3Y23.54%
5. Dividend
5.1 Amount
- XHR has a Yearly Dividend Yield of 3.80%. Purely for dividend investing, there may be better candidates out there.
- XHR's Dividend Yield is slightly below the industry average, which is at 6.82.
- XHR's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
5.2 History
- The dividend of XHR decreases each year by -15.89%.
- XHR has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of XHR decreased in the last 3 years.
Dividend Growth(5Y)-15.89%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- XHR pays out 23.47% of its income as dividend. This is a sustainable payout ratio.
DP23.47%
EPS Next 2Y11.61%
EPS Next 3Y23.54%
XENIA HOTELS & RESORTS INC / XHR FAQ
Can you provide the ChartMill fundamental rating for XENIA HOTELS & RESORTS INC?
ChartMill assigns a fundamental rating of 5 / 10 to XHR.
Can you provide the valuation status for XENIA HOTELS & RESORTS INC?
ChartMill assigns a valuation rating of 5 / 10 to XENIA HOTELS & RESORTS INC (XHR). This can be considered as Fairly Valued.
Can you provide the profitability details for XENIA HOTELS & RESORTS INC?
XENIA HOTELS & RESORTS INC (XHR) has a profitability rating of 4 / 10.
What is the financial health of XENIA HOTELS & RESORTS INC (XHR) stock?
The financial health rating of XENIA HOTELS & RESORTS INC (XHR) is 5 / 10.
Can you provide the dividend sustainability for XHR stock?
The dividend rating of XENIA HOTELS & RESORTS INC (XHR) is 4 / 10 and the dividend payout ratio is 23.47%.