WallStSmart

Huazhu Group Ltd (HTHT)vsInterContinental Hotels Group PLC ADR (IHG)

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Smart Verdict

WallStSmart Research — data-driven comparison

Huazhu Group Ltd generates 399% more annual revenue ($25.91B vs $5.19B). HTHT leads profitability with a 19.3% profit margin vs 14.6%. HTHT appears more attractively valued with a PEG of 0.27. HTHT earns a higher WallStSmart Score of 70/100 (B-).

HTHT

Strong Buy

70

out of 100

Grade: B-

Growth: 6.0Profit: 8.0Value: 7.0Quality: 3.0
Piotroski: 4/9Altman Z: 0.95

IHG

Hold

43

out of 100

Grade: D

Growth: 6.0Profit: 7.0Value: 3.3Quality: 6.0
Piotroski: 5/9Altman Z: 1.54
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for HTHT.

IHGSignificantly Overvalued (-82.9%)

Margin of Safety

-82.9%

Fair Value

$79.67

Current Price

$170.05

$90.38 premium

UndervaluedFair: $79.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HTHT3 strengths · Avg: 9.3/10
PEG RatioValuation
0.2710/10

Growing faster than its price suggests

Return on EquityProfitability
45.7%10/10

Every $100 of equity generates 46 in profit

Operating MarginProfitability
24.8%8/10

Strong operational efficiency at 24.8%

IHG2 strengths · Avg: 9.0/10
Debt/EquityHealth
-1.6910/10

Conservative balance sheet, low leverage

Operating MarginProfitability
22.2%8/10

Strong operational efficiency at 22.2%

Areas to Watch

HTHT4 concerns · Avg: 2.3/10
Price/BookValuation
8.1x4/10

Trading at 8.1x book value

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
0.952/10

Distress zone — elevated risk

Debt/EquityHealth
3.271/10

Elevated debt levels

IHG4 concerns · Avg: 4.0/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

P/E RatioValuation
34.4x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Altman Z-ScoreHealth
1.544/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HTHT

The strongest argument for HTHT centers on PEG Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 19.3% and operating margin at 24.8%. Revenue growth of 11.1% demonstrates continued momentum.

Bull Case : IHG

The strongest argument for IHG centers on Debt/Equity, Operating Margin.

Bear Case : HTHT

The primary concerns for HTHT are Price/Book, EPS Growth, Altman Z-Score. Debt-to-equity of 3.27 is elevated, increasing financial risk.

Bear Case : IHG

The primary concerns for IHG are PEG Ratio, P/E Ratio, Revenue Growth.

Key Dynamics to Monitor

HTHT profiles as a mature stock while IHG is a value play — different risk/reward profiles.

IHG carries more volatility with a beta of 1.04 — expect wider price swings.

HTHT is growing revenue faster at 11.1% — sustainability is the question.

IHG generates stronger free cash flow (563M), providing more financial flexibility.

Bottom Line

HTHT scores higher overall (70/100 vs 43/100), backed by strong 19.3% margins and 11.1% revenue growth. Both earn "Strong 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.

Huazhu Group Ltd

CONSUMER CYCLICAL · LODGING · China

Huazhu Group Limited, develops leased and owned, managed and franchised hotels mainly in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.

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InterContinental Hotels Group PLC ADR

CONSUMER CYCLICAL · LODGING · USA

InterContinental Hotels Group PLC owns, manages, franchises, and leases hotels in the Americas, Europe, Asia, the Middle East, Africa, and Greater China. The company is headquartered in Denham, the United Kingdom.

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