Loading...
Back to narrative

APLE: Cost Controls And Share Buybacks Will Drive Margin Expansion Ahead

Update shared on 19 Nov 2025

Fair value Increased 0.65%
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
-27.1%
7D
0.09%

Analysts have raised their price target for Apple Hospitality REIT slightly, from $12.92 to $13.00. They cite marginal improvements in profit margin projections, even though the anticipated revenue growth rate is lower and the discount rate is modestly higher.

What's in the News

  • Completed share repurchase of 469,993 shares between July 1, 2025 and October 31, 2025, totaling 0.2% of outstanding shares for $5.04 million. Cumulative buyback since April 2015 is 17,018,737 shares or 7.48% for $246.3 million (Key Developments).
  • Updated earnings guidance for 2025 indicates expected net income between $162 million and $175 million, reflecting economic uncertainty and government shutdown concerns (Key Developments).
  • Lowered 2025 net income guidance by $5.5 million and Comparable Hotels RevPAR Change by 100 basis points. Improved Comparable Hotels Adjusted Hotel EBITDA Margin % by 20 basis points and Adjusted EBITDAre by $0.3 million due to strong cost controls and lower expenses (Key Developments).

Valuation Changes

  • The consensus analyst price target has risen slightly from $12.92 to $13.00.
  • The discount rate increased from 7.94% to 8.17%.
  • The revenue growth projection has fallen moderately, changing from 1.92% to 1.77%.
  • The net profit margin improved marginally, moving from 12.12% to 12.14%.
  • The future P/E ratio has increased from 20.16x to 20.58x.

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.