WallStSmart

Diamondrock Hospitality Company Common Stock (DRH)vsService Properties Trust (SVC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Service Properties Trust generates 62% more annual revenue ($1.81B vs $1.12B). DRH leads profitability with a 9.1% profit margin vs -11.2%. SVC appears more attractively valued with a PEG of 2.27. DRH earns a higher WallStSmart Score of 46/100 (D+).

DRH

Hold

46

out of 100

Grade: D+

Growth: 2.7Profit: 5.5Value: 4.7Quality: 5.0

SVC

Hold

41

out of 100

Grade: D

Growth: 2.0Profit: 3.5Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DRHSignificantly Overvalued (-235.1%)

Margin of Safety

-235.1%

Fair Value

$2.99

Current Price

$9.56

$6.57 premium

UndervaluedFair: $2.99Overvalued

Intrinsic value data unavailable for SVC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DRH1 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

SVC1 strengths · Avg: 10.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Areas to Watch

DRH4 concerns · Avg: 2.5/10
Market CapQuality
$1.97B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.7%3/10

ROE of 6.7% — below average capital efficiency

PEG RatioValuation
2.522/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.6%2/10

Revenue declined 1.6%

SVC4 concerns · Avg: 2.8/10
PEG RatioValuation
2.274/10

Expensive relative to growth rate

Market CapQuality
$295.79M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-27.0%2/10

ROE of -27.0% — below average capital efficiency

Revenue GrowthGrowth
-12.9%2/10

Revenue declined 12.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : DRH

The strongest argument for DRH centers on Price/Book.

Bull Case : SVC

The strongest argument for SVC centers on Price/Book.

Bear Case : DRH

The primary concerns for DRH are Market Cap, Return on Equity, PEG Ratio.

Bear Case : SVC

The primary concerns for SVC are PEG Ratio, Market Cap, Return on Equity.

Key Dynamics to Monitor

DRH profiles as a value stock while SVC is a turnaround play — different risk/reward profiles.

SVC carries more volatility with a beta of 1.41 — expect wider price swings.

DRH is growing revenue faster at -1.6% — sustainability is the question.

DRH generates stronger free cash flow (47M), providing more financial flexibility.

Bottom Line

DRH scores higher overall (46/100 vs 41/100). Both earn "Hold" 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.

Diamondrock Hospitality Company Common Stock

REAL ESTATE · REIT - HOTEL & MOTEL · USA

DiamondRock Hospitality Company is a self-advising real estate investment trust (REIT) that owns a leading portfolio of geographically diversified hotels concentrated in major entry markets and destination resort locations.

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Service Properties Trust

REAL ESTATE · REIT - HOTEL & MOTEL · USA

Service Properties Trust is a real estate investment trust, or REIT, that owns a diverse portfolio of hotel and net-leasing services and need-based retail properties in the United States and in Puerto Rico and Canada with 149 different brands across 23 industries. The company is headquartered in Newton, Massachusetts.

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