WallStSmart

Braemar Hotel & Resorts Inc (BHR)vsSunstone Hotel Investors Inc (SHO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sunstone Hotel Investors Inc generates 41% more annual revenue ($985.77M vs $697.09M). SHO leads profitability with a 3.8% profit margin vs -2.2%. SHO earns a higher WallStSmart Score of 55/100 (C).

BHR

Hold

43

out of 100

Grade: D

Growth: 4.0Profit: 4.0Value: 5.0Quality: 4.5
Piotroski: 4/9Altman Z: 0.37

SHO

Buy

55

out of 100

Grade: C

Growth: 6.7Profit: 4.5Value: 4.7Quality: 6.0
Piotroski: 3/9Altman Z: 1.24
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for BHR.

SHOUndervalued (+35.1%)

Margin of Safety

+35.1%

Fair Value

$14.30

Current Price

$11.48

$2.82 discount

UndervaluedFair: $14.30Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BHR1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

SHO2 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
1170.0%10/10

Earnings expanding 1170.0% YoY

Areas to Watch

BHR4 concerns · Avg: 2.3/10
Market CapQuality
$156.74M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3.2%2/10

ROE of -3.2% — below average capital efficiency

Revenue GrowthGrowth
-3.2%2/10

Revenue declined 3.2%

Altman Z-ScoreHealth
0.372/10

Distress zone — elevated risk

SHO4 concerns · Avg: 2.8/10
Return on EquityProfitability
2.0%3/10

ROE of 2.0% — below average capital efficiency

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.002/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : BHR

The strongest argument for BHR centers on Price/Book.

Bull Case : SHO

The strongest argument for SHO centers on Price/Book, EPS Growth. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : BHR

The primary concerns for BHR are Market Cap, Return on Equity, Revenue Growth. Debt-to-equity of 2.42 is elevated, increasing financial risk.

Bear Case : SHO

The primary concerns for SHO are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 106.5x leaves little room for execution misses. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

BHR profiles as a turnaround stock while SHO is a value play — different risk/reward profiles.

SHO carries more volatility with a beta of 0.99 — expect wider price swings.

SHO is growing revenue faster at 11.0% — sustainability is the question.

SHO generates stronger free cash flow (14M), providing more financial flexibility.

Bottom Line

SHO scores higher overall (55/100 vs 43/100) and 11.0% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Braemar Hotel & Resorts Inc

REAL ESTATE · REIT - HOTEL & MOTEL · USA

Braemar Hotel & Resorts Inc (BHR) operates as a leading real estate investment trust (REIT) focused on acquiring and managing luxury hotels and resorts in key U.S. markets. With a robust management team and a strategic focus on maximizing asset performance, BHR is positioned to capitalize on recovery trends in the travel and hospitality industry. The company's disciplined investment strategy enhances operational efficiencies and offers institutional investors a unique opportunity to diversify their portfolios within the high-growth lodging sector.

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Sunstone Hotel Investors Inc

REAL ESTATE · REIT - HOTEL & MOTEL · USA

Sunstone Hotel Investors, Inc. is a lodging real estate investment trust (REIT) that, as of the date of this release, has interests in 19 hotels with 9,997 rooms.

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