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 ($1.44B vs $987.82M). CHH leads profitability with a 35.0% profit margin vs 13.4%. WH appears more attractively valued with a PEG of 0.65. WH earns a higher WallStSmart Score of 60/100 (C+).

CHH

Buy

54

out of 100

Grade: C-

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

WH

Buy

60

out of 100

Grade: C+

Growth: 3.3Profit: 8.0Value: 4.7Quality: 2.5
Piotroski: 3/9Altman Z: 0.85
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
WHSignificantly Overvalued (-56.7%)

Margin of Safety

-56.7%

Fair Value

$50.74

Current Price

$81.96

$31.22 premium

UndervaluedFair: $50.74Overvalued

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%

WH3 strengths · Avg: 9.3/10
Return on EquityProfitability
43.2%10/10

Every $100 of equity generates 43 in profit

Operating MarginProfitability
37.0%10/10

Strong operational efficiency at 37.0%

PEG RatioValuation
0.658/10

Growing faster than its price suggests

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%

WH4 concerns · Avg: 4.0/10
P/E RatioValuation
31.5x4/10

Premium valuation, high expectations priced in

Price/BookValuation
13.2x4/10

Trading at 13.2x book value

Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

EPS GrowthGrowth
2.6%4/10

2.6% 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 : WH

The strongest argument for WH centers on Return on Equity, Operating Margin, PEG Ratio. PEG of 0.65 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 15.35 is elevated, increasing financial risk.

Bear Case : WH

The primary concerns for WH are P/E Ratio, Price/Book, Revenue Growth. Debt-to-equity of 8.47 is elevated, increasing financial risk.

Key Dynamics to Monitor

CHH carries more volatility with a beta of 0.68 — expect wider price swings.

WH is growing revenue faster at 3.5% — sustainability is the question.

WH generates stronger free cash flow (35M), providing more financial flexibility.

Monitor LODGING industry trends, competitive dynamics, and regulatory changes.

Bottom Line

WH scores higher overall (60/100 vs 54/100). 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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