WallStSmart

Choice Hotels International Inc (CHH)vsMarriott International Inc (MAR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Marriott International Inc generates 627% more annual revenue ($7.18B vs $987.82M). MAR leads profitability with a 36.0% profit margin vs 35.0%. MAR appears more attractively valued with a PEG of 2.24. MAR earns a higher WallStSmart Score of 55/100 (C-).

CHH

Buy

54

out of 100

Grade: C-

Growth: 3.3Profit: 9.5Value: 4.7Quality: 4.5
Piotroski: 4/9Altman Z: 2.29

MAR

Buy

55

out of 100

Grade: C-

Growth: 5.3Profit: 8.5Value: 4.3Quality: 6.5
Piotroski: 5/9Altman Z: 2.18
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CHHSignificantly Overvalued (-75.6%)

Margin of Safety

-75.6%

Fair Value

$62.08

Current Price

$109.81

$47.73 premium

UndervaluedFair: $62.08Overvalued

Intrinsic value data unavailable for MAR.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CHH4 strengths · Avg: 9.0/10
Return on EquityProfitability
251.6%10/10

Every $100 of equity generates 252 in profit

Profit MarginProfitability
35.0%10/10

Keeps 35 of every $100 in revenue as profit

P/E RatioValuation
14.8x8/10

Attractively priced relative to earnings

Operating MarginProfitability
27.8%8/10

Strong operational efficiency at 27.8%

MAR4 strengths · Avg: 9.8/10
Profit MarginProfitability
36.0%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
59.0%10/10

Strong operational efficiency at 59.0%

Debt/EquityHealth
-4.0410/10

Conservative balance sheet, low leverage

Market CapQuality
$98.56B9/10

Large-cap with strong market position

Areas to Watch

CHH4 concerns · Avg: 3.0/10
PEG RatioValuation
2.424/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

Price/BookValuation
36.1x2/10

Trading at 36.1x book value

EPS GrowthGrowth
-53.2%2/10

Earnings declined 53.2%

MAR3 concerns · Avg: 4.0/10
PEG RatioValuation
2.244/10

Expensive relative to growth rate

P/E RatioValuation
39.1x4/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
1.7%4/10

1.7% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : CHH

The strongest argument for CHH centers on Return on Equity, Profit Margin, P/E Ratio. Profitability is solid with margins at 35.0% and operating margin at 27.8%.

Bull Case : MAR

The strongest argument for MAR centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 36.0% and operating margin at 59.0%. Revenue growth of 12.6% demonstrates continued momentum.

Bear Case : CHH

The primary concerns for CHH are PEG Ratio, Revenue Growth, Price/Book. Debt-to-equity of 15.35 is elevated, increasing financial risk.

Bear Case : MAR

The primary concerns for MAR are PEG Ratio, P/E Ratio, EPS Growth.

Key Dynamics to Monitor

CHH profiles as a value stock while MAR is a mature play — different risk/reward profiles.

MAR carries more volatility with a beta of 1.11 — expect wider price swings.

MAR is growing revenue faster at 12.6% — sustainability is the question.

MAR generates stronger free cash flow (728M), providing more financial flexibility.

Bottom Line

MAR scores higher overall (55/100 vs 54/100), backed by strong 36.0% margins and 12.6% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Choice Hotels International Inc

CONSUMER CYCLICAL · LODGING · USA

Choice Hotels International, Inc. is a global hotel franchisor. The company is headquartered in Rockville, Maryland.

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Marriott International Inc

CONSUMER CYCLICAL · LODGING · USA

Marriott International, Inc. is an American multinational company that operates, franchises, and licenses lodging including hotel, residential, and timeshare properties. It is headquartered in Bethesda, Maryland.

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