Choice Hotels International, Inc. (NYSE:CHH) Given Average Rating of “Reduce” by Brokerages

Choice Hotels International, Inc. (NYSE:CHH) has been assigned a consensus recommendation of “Reduce” from the fourteen research firms that are currently covering the stock, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and two have issued a buy rating on the company. The average 12-month target price among analysts that have issued ratings on the stock in the last year is $110.00.

CHH has been the topic of several recent research reports. Jefferies Financial Group cut shares of Choice Hotels International from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 12th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $119.00 target price on shares of Choice Hotels International in a report on Friday, February 20th. Truist Financial boosted their price target on shares of Choice Hotels International from $126.00 to $129.00 and gave the stock a “buy” rating in a research note on Thursday. Barclays increased their price target on shares of Choice Hotels International from $98.00 to $101.00 and gave the stock an “underweight” rating in a report on Friday, February 20th. Finally, Morgan Stanley reduced their price objective on shares of Choice Hotels International from $91.00 to $83.00 and set an “underweight” rating for the company in a research report on Tuesday, March 10th.

Choice Hotels International Stock Down 0.8%

Choice Hotels International stock opened at $100.78 on Friday. The stock has a 50 day moving average of $104.02 and a two-hundred day moving average of $100.70. Choice Hotels International has a twelve month low of $84.04 and a twelve month high of $136.45. The stock has a market capitalization of $4.63 billion, a price-to-earnings ratio of 12.72, a PEG ratio of 4.52 and a beta of 0.75. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 10.52.

Choice Hotels International (NYSE:CHH) last released its earnings results on Thursday, February 19th. The company reported $1.60 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.56 by $0.04. Choice Hotels International had a return on equity of 541.07% and a net margin of 23.17%.The business had revenue of $390.15 million for the quarter, compared to analyst estimates of $369.26 million. During the same quarter in the previous year, the company posted $1.55 earnings per share. The company’s revenue for the quarter was up .0% compared to the same quarter last year. Choice Hotels International has set its FY 2026 guidance at 6.920-7.140 EPS. As a group, research analysts expect that Choice Hotels International will post 7.07 earnings per share for the current year.

Choice Hotels International Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Wednesday, April 1st will be issued a $0.2875 dividend. This represents a $1.15 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Wednesday, April 1st. Choice Hotels International’s dividend payout ratio (DPR) is currently 14.52%.

Insider Buying and Selling

In other Choice Hotels International news, CFO Scott E. Oaksmith sold 1,603 shares of the stock in a transaction on Wednesday, March 18th. The stock was sold at an average price of $100.00, for a total value of $160,300.00. Following the completion of the transaction, the chief financial officer owned 37,172 shares in the company, valued at approximately $3,717,200. This represents a 4.13% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP Simone Wu sold 8,080 shares of the firm’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $101.56, for a total value of $820,604.80. Following the completion of the sale, the senior vice president directly owned 48,803 shares of the company’s stock, valued at approximately $4,956,432.68. This trade represents a 14.20% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 10,283 shares of company stock worth $1,040,947. Company insiders own 23.78% of the company’s stock.

Hedge Funds Weigh In On Choice Hotels International

A number of institutional investors and hedge funds have recently made changes to their positions in CHH. Bamco Inc. NY lifted its stake in shares of Choice Hotels International by 37.8% in the fourth quarter. Bamco Inc. NY now owns 7,386,575 shares of the company’s stock valued at $703,645,000 after purchasing an additional 2,026,679 shares during the period. Goldman Sachs Group Inc. grew its position in Choice Hotels International by 151.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 512,628 shares of the company’s stock worth $48,833,000 after buying an additional 308,771 shares during the period. Norges Bank acquired a new position in Choice Hotels International during the fourth quarter worth about $28,910,000. Wellington Management Group LLP increased its holdings in Choice Hotels International by 55.1% in the fourth quarter. Wellington Management Group LLP now owns 574,630 shares of the company’s stock valued at $54,739,000 after buying an additional 204,146 shares in the last quarter. Finally, Tudor Investment Corp ET AL increased its holdings in Choice Hotels International by 208.1% in the fourth quarter. Tudor Investment Corp ET AL now owns 280,513 shares of the company’s stock valued at $26,722,000 after buying an additional 189,464 shares in the last quarter. 65.57% of the stock is owned by institutional investors and hedge funds.

About Choice Hotels International

Choice Hotels International, Inc is a hospitality franchisor specializing in the development and support of lodging brands across the economy, midscale and upscale segments. Through a network of franchisees, Choice Hotels supplies proprietary reservation and distribution systems, comprehensive marketing programs, and operational support services. The company’s core activities include brand management, franchise development, and technology-driven revenue optimization tools designed to enhance guest acquisition and retention for its partners.

Founded in 1939 as Quality Courts United, the company rebranded to Choice Hotels International in 1982 to reflect its expanding brand portfolio and global ambitions.