XENIA HOTELS & RESORTS INC (XHR) Stock Fundamental Analysis
NYSE:XHR - New York Stock Exchange, Inc. - US9840171030 - REIT - Currency: USD
XHR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 129 industry peers in the Diversified REITs industry. XHR scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 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.
Of the past 5 years XHR 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.79%, XHR perfoms like the industry average, outperforming 53.49% of the companies in the same industry.
Looking at the Return On Equity, with a value of 1.88%, XHR is in line with its industry, outperforming 51.94% of the companies in the same industry.
XHR has a Return On Invested Capital of 2.70%. This is comparable to the rest of the industry: XHR outperforms 48.84% of its industry peers.
The Average Return On Invested Capital over the past 3 years for XHR is in line with the industry average of 3.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.88% | ||
| ROIC | 2.7% |
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
XHR has a Profit Margin (2.15%) which is comparable to the rest of the industry.
XHR's Profit Margin has declined in the last couple of years.
XHR has a worse Operating Margin (8.84%) than 80.62% of its industry peers.
In the last couple of years the Operating Margin of XHR has declined.
Looking at the Gross Margin, with a value of 54.48%, XHR is doing worse than 74.42% of the companies in the same industry.
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 | 8.84% | ||
| PM (TTM) | 2.15% | ||
| GM | 54.48% |
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
XHR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
XHR has less shares outstanding than it did 1 year ago.
XHR has less shares outstanding than it did 5 years ago.
XHR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.61, we must say that XHR is in the distress zone and has some risk of bankruptcy.
XHR has a Altman-Z score of 0.61. This is comparable to the rest of the industry: XHR outperforms 53.49% of its industry peers.
XHR has a debt to FCF ratio of 49.38. This is a negative value and a sign of low solvency as XHR would need 49.38 years to pay back of all of its debts.
The Debt to FCF ratio of XHR (49.38) is better than 64.34% of its industry peers.
A Debt/Equity ratio of 1.17 is on the high side and indicates that XHR has dependencies on debt financing.
XHR has a Debt to Equity ratio (1.17) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 49.38 | ||
| Altman-Z | 0.61 |
ROIC/WACC0.36
WACC7.57%
2.3 Liquidity
XHR has a Current Ratio of 1.02. This is a normal value and indicates that XHR is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of XHR (1.02) is comparable to the rest of the industry.
A Quick Ratio of 1.02 indicates that XHR should not have too much problems paying its short term obligations.
XHR has a Quick ratio of 1.02. This is comparable to the rest of the industry: XHR outperforms 55.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 |
3. Growth
3.1 Past
XHR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.79%, which is quite good.
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.
Looking at the last year, XHR shows a small growth in Revenue. The Revenue has grown by 3.57% in the last year.
Measured over the past years, XHR shows a decrease in Revenue. The Revenue has been decreasing by -1.99% on average per year.
EPS 1Y (TTM)15.79%
EPS 3YN/A
EPS 5Y-23.7%
EPS Q2Q%87.5%
Revenue 1Y (TTM)3.57%
Revenue growth 3Y19.02%
Revenue growth 5Y-1.99%
Sales Q2Q%8.01%
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 42.53% on average per year.
XHR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.17% yearly.
EPS Next Y243.4%
EPS Next 2Y36.82%
EPS Next 3Y42.53%
EPS Next 5YN/A
Revenue Next Year2.19%
Revenue Next 2Y2.72%
Revenue Next 3Y3.17%
Revenue Next 5YN/A
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
Based on the Price/Earnings ratio of 59.77, the valuation of XHR can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of XHR is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.30, XHR is valued quite expensively.
XHR is valuated quite expensively with a Price/Forward Earnings ratio of 46.83.
XHR's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of XHR to the average of the S&P500 Index (21.76), we can say XHR is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.77 | ||
| Fwd PE | 46.83 |
4.2 Price Multiples
72.87% of the companies in the same industry are more expensive than XHR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, XHR is valued a bit cheaper than 63.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45 | ||
| EV/EBITDA | 11.66 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as XHR's earnings are expected to grow with 42.53% in the coming years.
PEG (NY)0.25
PEG (5Y)N/A
EPS Next 2Y36.82%
EPS Next 3Y42.53%
5. Dividend
5.1 Amount
XHR has a Yearly Dividend Yield of 3.92%.
Compared to an average industry Dividend Yield of 6.45, XHR is paying slightly less dividend.
XHR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
5.2 History
The dividend of XHR decreases each year by -15.89%.
XHR has been paying a dividend for at least 10 years, so it has a reliable track record.
XHR has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-15.89%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
166.74% of the earnings are spent on dividend by XHR. This is not a sustainable payout ratio.
DP166.74%
EPS Next 2Y36.82%
EPS Next 3Y42.53%
13.15
-0.11 (-0.83%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners98.07%
Inst Owner Change0%
Ins Owners0.94%
Ins Owner Change0.04%
Market Cap1.30B
Analysts78
Price Target14.08 (7.07%)
Short Float %3.97%
Short Ratio4.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.92% |
Yearly Dividend0.47
Dividend Growth(5Y)-15.89%
DP166.74%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-17.68%
Min EPS beat(2)-199.01%
Max EPS beat(2)163.65%
EPS beat(4)3
Avg EPS beat(4)3.8%
Min EPS beat(4)-199.01%
Max EPS beat(4)163.65%
EPS beat(8)5
Avg EPS beat(8)60.16%
EPS beat(12)7
Avg EPS beat(12)107.12%
EPS beat(16)9
Avg EPS beat(16)83.21%
Revenue beat(2)1
Avg Revenue beat(2)1.13%
Min Revenue beat(2)-1.63%
Max Revenue beat(2)3.88%
Revenue beat(4)1
Avg Revenue beat(4)-0.41%
Min Revenue beat(4)-1.98%
Max Revenue beat(4)3.88%
Revenue beat(8)2
Avg Revenue beat(8)-0.46%
Revenue beat(12)5
Avg Revenue beat(12)0.59%
Revenue beat(16)9
Avg Revenue beat(16)1.91%
PT rev (1m)1.47%
PT rev (3m)-10.97%
EPS NQ rev (1m)0%
EPS NQ rev (3m)300%
EPS NY rev (1m)0%
EPS NY rev (3m)412.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.67%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.77 | ||
| Fwd PE | 46.83 | ||
| P/S | 1.22 | ||
| P/FCF | 45 | ||
| P/OCF | 6.7 | ||
| P/B | 1.07 | ||
| P/tB | 1.08 | ||
| EV/EBITDA | 11.66 |
EPS(TTM)0.22
EY1.67%
EPS(NY)0.28
Fwd EY2.14%
FCF(TTM)0.29
FCFY2.22%
OCF(TTM)1.96
OCFY14.93%
SpS10.74
BVpS12.25
TBVpS12.2
PEG (NY)0.25
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 1.88% | ||
| ROCE | 3.41% | ||
| ROIC | 2.7% | ||
| ROICexc | 2.81% | ||
| ROICexgc | 2.86% | ||
| OM | 8.84% | ||
| PM (TTM) | 2.15% | ||
| GM | 54.48% | ||
| FCFM | 2.72% |
ROA(3y)1.01%
ROA(5y)-1.39%
ROE(3y)2.2%
ROE(5y)-2.79%
ROIC(3y)2.74%
ROIC(5y)N/A
ROICexc(3y)2.94%
ROICexc(5y)N/A
ROICexgc(3y)2.99%
ROICexgc(5y)N/A
ROCE(3y)3.47%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-6.42%
ROICexc growth 3YN/A
ROICexc growth 5Y-6.41%
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%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 49.38 | ||
| Debt/EBITDA | 6.35 | ||
| Cap/Depr | 126.88% | ||
| Cap/Sales | 15.55% | ||
| Interest Coverage | 1.29 | ||
| Cash Conversion | 86.6% | ||
| Profit Quality | 126.64% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 | ||
| Altman-Z | 0.61 |
F-Score6
WACC7.57%
ROIC/WACC0.36
Cap/Depr(3y)167.19%
Cap/Depr(5y)114.68%
Cap/Sales(3y)21.77%
Cap/Sales(5y)17.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.79%
EPS 3YN/A
EPS 5Y-23.7%
EPS Q2Q%87.5%
EPS Next Y243.4%
EPS Next 2Y36.82%
EPS Next 3Y42.53%
EPS Next 5YN/A
Revenue 1Y (TTM)3.57%
Revenue growth 3Y19.02%
Revenue growth 5Y-1.99%
Sales Q2Q%8.01%
Revenue Next Year2.19%
Revenue Next 2Y2.72%
Revenue Next 3Y3.17%
Revenue Next 5YN/A
EBIT growth 1Y3.25%
EBIT growth 3YN/A
EBIT growth 5Y-8.94%
EBIT Next Year188.72%
EBIT Next 3Y48.07%
EBIT Next 5YN/A
FCF growth 1Y-73.85%
FCF growth 3Y37.05%
FCF growth 5YN/A
OCF growth 1Y4.85%
OCF growth 3Y58.91%
OCF growth 5Y-7.87%