WallStSmart

Choice Hotels International Inc (CHH)vsWyndham Hotels & Resorts Inc (WH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wyndham Hotels & Resorts Inc generates 46% more annual revenue ($1.43B vs $980.59M). CHH leads profitability with a 37.7% profit margin vs 13.5%. WH appears more attractively valued with a PEG of 0.58. CHH earns a higher WallStSmart Score of 58/100 (C).

CHH

Buy

58

out of 100

Grade: C

Growth: 3.3Profit: 9.5Value: 7.3Quality: 4.5
Piotroski: 5/9Altman Z: 2.29

WH

Buy

56

out of 100

Grade: C

Growth: 3.3Profit: 7.5Value: 7.3Quality: 3.8
Piotroski: 3/9Altman Z: 0.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CHHSignificantly Overvalued (-103.0%)

Margin of Safety

-103.0%

Fair Value

$53.72

Current Price

$99.38

$45.66 premium

UndervaluedFair: $53.72Overvalued
WHSignificantly Overvalued (-106.0%)

Margin of Safety

-106.0%

Fair Value

$38.60

Current Price

$79.19

$40.59 premium

UndervaluedFair: $38.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CHH4 strengths · Avg: 9.5/10
Return on EquityProfitability
54.4%10/10

Every $100 of equity generates 54 in profit

Profit MarginProfitability
37.7%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
45.0%10/10

Strong operational efficiency at 45.0%

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

WH2 strengths · Avg: 9.0/10
Return on EquityProfitability
34.5%10/10

Every $100 of equity generates 35 in profit

PEG RatioValuation
0.588/10

Growing faster than its price suggests

Areas to Watch

CHH4 concerns · Avg: 3.0/10
PEG RatioValuation
1.904/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.4%4/10

2.4% revenue growth

Price/BookValuation
25.0x2/10

Trading at 25.0x book value

EPS GrowthGrowth
-13.6%2/10

Earnings declined 13.6%

WH4 concerns · Avg: 3.3/10
P/E RatioValuation
31.0x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.8x4/10

Trading at 12.8x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : CHH

The strongest argument for CHH centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 37.7% and operating margin at 45.0%.

Bull Case : WH

The strongest argument for WH centers on Return on Equity, PEG Ratio. PEG of 0.58 suggests the stock is reasonably priced for its growth.

Bear Case : CHH

The primary concerns for CHH are PEG Ratio, Revenue Growth, Price/Book. Debt-to-equity of 11.11 is elevated, increasing financial risk.

Bear Case : WH

The primary concerns for WH are P/E Ratio, Price/Book, Piotroski F-Score.

Key Dynamics to Monitor

CHH profiles as a value stock while WH is a declining play — different risk/reward profiles.

CHH carries more volatility with a beta of 0.77 — expect wider price swings.

CHH is growing revenue faster at 2.4% — sustainability is the question.

WH generates stronger free cash flow (136M), providing more financial flexibility.

Bottom Line

CHH scores higher overall (58/100 vs 56/100), backed by strong 37.7% margins. 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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Wyndham Hotels & Resorts Inc

CONSUMER CYCLICAL · LODGING · USA

Wyndham Hotels & Resorts, Inc. is a global hotel franchisor. The company is headquartered in Parsippany, New Jersey.

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