WallStSmart

Atour Lifestyle Holdings Limited American Depositary Shares (ATAT)vsHuazhu Group Ltd (HTHT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Huazhu Group Ltd generates 158% more annual revenue ($25.31B vs $9.79B). HTHT leads profitability with a 20.1% profit margin vs 16.6%. ATAT trades at a lower P/E of 21.1x. HTHT earns a higher WallStSmart Score of 80/100 (B+).

ATAT

Strong Buy

74

out of 100

Grade: B

Growth: 10.0Profit: 9.5Value: 8.3Quality: 9.0
Piotroski: 6/9Altman Z: 3.11

HTHT

Strong Buy

80

out of 100

Grade: B+

Growth: 8.0Profit: 8.5Value: 10.0Quality: 3.0
Piotroski: 5/9Altman Z: 0.92
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ATATUndervalued (+50.4%)

Margin of Safety

+50.4%

Fair Value

$79.09

Current Price

$35.96

$43.13 discount

UndervaluedFair: $79.09Overvalued
HTHTUndervalued (+51.0%)

Margin of Safety

+51.0%

Fair Value

$108.58

Current Price

$49.21

$59.37 discount

UndervaluedFair: $108.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ATAT5 strengths · Avg: 9.2/10
Return on EquityProfitability
49.7%10/10

Every $100 of equity generates 50 in profit

Revenue GrowthGrowth
33.8%10/10

Revenue surging 33.8% year-over-year

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
25.2%8/10

Strong operational efficiency at 25.2%

EPS GrowthGrowth
45.5%8/10

Earnings expanding 45.5% YoY

HTHT6 strengths · Avg: 8.8/10
PEG RatioValuation
0.2710/10

Growing faster than its price suggests

Return on EquityProfitability
40.6%10/10

Every $100 of equity generates 41 in profit

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Operating MarginProfitability
29.1%8/10

Strong operational efficiency at 29.1%

EPS GrowthGrowth
22.3%8/10

Earnings expanding 22.3% YoY

Free Cash FlowQuality
$3.15B8/10

Generating 3.2B in free cash flow

Areas to Watch

ATAT1 concerns · Avg: 4.0/10
Price/BookValuation
9.5x4/10

Trading at 9.5x book value

HTHT3 concerns · Avg: 2.3/10
Price/BookValuation
8.1x4/10

Trading at 8.1x book value

Altman Z-ScoreHealth
0.922/10

Distress zone — elevated risk

Debt/EquityHealth
3.131/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : ATAT

The strongest argument for ATAT centers on Return on Equity, Revenue Growth, Altman Z-Score. Profitability is solid with margins at 16.6% and operating margin at 25.2%. Revenue growth of 33.8% demonstrates continued momentum.

Bull Case : HTHT

The strongest argument for HTHT centers on PEG Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 20.1% and operating margin at 29.1%. PEG of 0.27 suggests the stock is reasonably priced for its growth.

Bear Case : ATAT

The primary concerns for ATAT are Price/Book.

Bear Case : HTHT

The primary concerns for HTHT are Price/Book, Altman Z-Score, Debt/Equity. Debt-to-equity of 3.13 is elevated, increasing financial risk.

Key Dynamics to Monitor

ATAT profiles as a growth stock while HTHT is a mature play — different risk/reward profiles.

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

ATAT is growing revenue faster at 33.8% — sustainability is the question.

HTHT generates stronger free cash flow (3.2B), providing more financial flexibility.

Bottom Line

HTHT scores higher overall (80/100 vs 74/100), backed by strong 20.1% margins. ATAT offers better value entry with a 50.4% margin of safety. Both earn "Strong Buy" and "Strong 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.

Atour Lifestyle Holdings Limited American Depositary Shares

CONSUMER CYCLICAL · LODGING · USA

Atour Lifestyle Holdings Limited, operates a chain of hotels in China. The company is headquartered in Shanghai, China.

Visit Website →

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.

Visit Website →

Want to dig deeper into these stocks?