WallStSmart

Hilton Worldwide Holdings Inc (HLT)vsInterContinental Hotels Group PLC ADR (IHG)

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Smart Verdict

WallStSmart Research — data-driven comparison

InterContinental Hotels Group PLC ADR generates 5% more annual revenue ($5.19B vs $4.95B). HLT leads profitability with a 29.4% profit margin vs 14.6%. IHG appears more attractively valued with a PEG of 0.96. HLT earns a higher WallStSmart Score of 52/100 (C-).

HLT

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 7.3Quality: 3.8
Piotroski: 4/9Altman Z: 0.92

IHG

Hold

49

out of 100

Grade: D+

Growth: 6.0Profit: 6.5Value: 7.3Quality: 4.8
Piotroski: 5/9Altman Z: 1.83
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HLTSignificantly Overvalued (-681.2%)

Margin of Safety

-681.2%

Fair Value

$41.62

Current Price

$303.16

$261.54 premium

UndervaluedFair: $41.62Overvalued
IHGSignificantly Overvalued (-56.5%)

Margin of Safety

-56.5%

Fair Value

$93.11

Current Price

$134.14

$41.03 premium

UndervaluedFair: $93.11Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HLT3 strengths · Avg: 9.3/10
Operating MarginProfitability
46.3%10/10

Strong operational efficiency at 46.3%

Market CapQuality
$69.71B9/10

Large-cap with strong market position

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

IHG2 strengths · Avg: 8.0/10
PEG RatioValuation
0.968/10

Growing faster than its price suggests

Operating MarginProfitability
21.6%8/10

Strong operational efficiency at 21.6%

Areas to Watch

HLT4 concerns · Avg: 2.3/10
Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

P/E RatioValuation
49.0x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-38.5%2/10

Earnings declined 38.5%

Altman Z-ScoreHealth
0.922/10

Distress zone — elevated risk

IHG4 concerns · Avg: 3.8/10
P/E RatioValuation
27.2x4/10

Moderate valuation

Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : HLT

The strongest argument for HLT centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 29.4% and operating margin at 46.3%. PEG of 1.38 suggests the stock is reasonably priced for its growth.

Bull Case : IHG

The strongest argument for IHG centers on PEG Ratio, Operating Margin. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bear Case : HLT

The primary concerns for HLT are Return on Equity, P/E Ratio, EPS Growth. A P/E of 49.0x leaves little room for execution misses.

Bear Case : IHG

The primary concerns for IHG are P/E Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

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

HLT carries more volatility with a beta of 1.12 — expect wider price swings.

HLT is growing revenue faster at 7.0% — sustainability is the question.

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

Bottom Line

HLT scores higher overall (52/100 vs 49/100), backed by strong 29.4% margins. Both earn "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.

Hilton Worldwide Holdings Inc

CONSUMER CYCLICAL · LODGING · USA

Hilton Worldwide Holdings Inc., formerly Hilton Hotels Corporation, is an American multinational hospitality company that manages and franchises a broad portfolio of hotels and resorts.

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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