RLJ Lodging Trust

NYSE:RLJ Stock Report

Market Cap: US$1.1b

RLJ Lodging Trust Valuation

Is RLJ undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of RLJ when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

US$11.94
Fair Value
37.0% undervalued intrinsic discount
9
Number of Analysts

Below Fair Value: RLJ ($7.52) is trading below our estimate of fair value ($11.94)

Significantly Below Fair Value: RLJ is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for RLJ?

Key metric: As RLJ is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for RLJ. This is calculated by dividing RLJ's market cap by their current revenue.
What is RLJ's PS Ratio?
PS Ratio0.8x
SalesUS$1.35b
Market CapUS$1.13b

Price to Sales Ratio vs Peers

How does RLJ's PS Ratio compare to its peers?

The above table shows the PS ratio for RLJ vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.4x
PEB Pebblebrook Hotel Trust
0.9x2.61%US$1.2b
XHR Xenia Hotels & Resorts
1.2x2.76%US$1.3b
DRH DiamondRock Hospitality
1.6x1.91%US$1.8b
SHO Sunstone Hotel Investors
1.8x3.83%US$1.7b
RLJ RLJ Lodging Trust
0.8x2.12%US$1.1b

Price-To-Sales vs Peers: RLJ is good value based on its Price-To-Sales Ratio (0.8x) compared to the peer average (1.4x).


Price to Sales Ratio vs Industry

How does RLJ's PS Ratio compare vs other companies in the North American Hotel and Resort REITs Industry?

3 CompaniesPrice / SalesEstimated GrowthMarket Cap
RLJ 0.8xIndustry Avg. 3.7xNo. of Companies4PS00.61.21.82.43+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: RLJ is good value based on its Price-To-Sales Ratio (0.8x) compared to the Global Hotel and Resort REITs industry average (3.7x).


Price to Sales Ratio vs Fair Ratio

What is RLJ's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

RLJ PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.8x
Fair PS Ratio1.4x

Price-To-Sales vs Fair Ratio: RLJ is good value based on its Price-To-Sales Ratio (0.8x) compared to the estimated Fair Price-To-Sales Ratio (1.4x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst RLJ forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$7.52
US$8.64
+14.88%
17.21%US$12.00US$7.00n/a9
Nov ’26US$6.80
US$8.78
+29.14%
16.93%US$12.00US$7.00n/a8
Oct ’26US$7.22
US$8.97
+24.22%
15.67%US$12.00US$7.00n/a8
Sep ’26US$7.70
US$8.84
+14.85%
17.25%US$12.00US$7.00n/a8
Aug ’26US$7.22
US$9.28
+28.55%
18.24%US$12.00US$7.00n/a8
Jul ’26US$7.49
US$9.28
+23.92%
18.24%US$12.00US$7.00n/a8
Jun ’26US$7.30
US$9.53
+30.57%
17.91%US$12.00US$6.00n/a8
May ’26US$7.11
US$10.03
+41.09%
19.64%US$12.00US$6.00n/a8
Apr ’26US$7.98
US$10.97
+37.45%
9.43%US$12.00US$9.75n/a8
Mar ’26US$9.26
US$11.34
+22.50%
11.92%US$14.00US$9.75n/a8
Feb ’26US$9.75
US$11.44
+17.31%
11.02%US$14.00US$10.00n/a8
Jan ’26US$10.21
US$11.44
+12.02%
11.02%US$14.00US$10.00n/a8
Dec ’25US$10.21
US$11.38
+11.41%
11.58%US$14.00US$10.00n/a8
Nov ’25US$8.77
US$11.13
+26.85%
13.81%US$14.00US$9.00US$6.808
Oct ’25US$9.25
US$11.75
+27.03%
15.78%US$14.00US$9.00US$7.228
Sep ’25US$9.50
US$12.33
+29.82%
14.30%US$15.00US$10.00US$7.709
Aug ’25US$9.25
US$13.67
+47.75%
16.54%US$18.00US$10.00US$7.229
Jul ’25US$9.39
US$13.80
+46.96%
13.67%US$18.00US$11.00US$7.4910
Jun ’25US$9.98
US$13.90
+39.28%
13.05%US$18.00US$11.00US$7.3010
May ’25US$10.96
US$14.25
+30.02%
11.23%US$18.00US$12.00US$7.1110
Apr ’25US$11.69
US$14.25
+21.90%
11.23%US$18.00US$12.00US$7.9810
Mar ’25US$12.18
US$14.15
+16.17%
11.18%US$18.00US$12.00US$9.2610
Feb ’25US$11.80
US$14.05
+19.07%
11.08%US$18.00US$12.00US$9.7510
Jan ’25US$11.72
US$13.72
+17.08%
12.04%US$18.00US$12.00US$10.219
Dec ’24US$10.94
US$13.44
+22.89%
13.63%US$18.00US$11.00US$10.219
Nov ’24US$9.35
US$13.50
+44.39%
14.34%US$18.00US$11.00US$8.778
US$8.64
Fair Value
13.0% undervalued intrinsic discount
9
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/11/22 05:35
End of Day Share Price 2025/11/21 00:00
Earnings2025/09/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

RLJ Lodging Trust is covered by 24 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Michael BellisarioBaird
Felicia Kantor HendrixBarclays
Dany AsadBofA Global Research