DB:2WY

Stock Analysis Report

Wyndham Hotels & Resorts

Executive Summary

Wyndham Hotels & Resorts, Inc. operates as a hotel franchisor worldwide.

Snowflake

Fundamentals

Reasonable growth potential second-rate dividend payer.


Similar Companies

Share Price & News

How has Wyndham Hotels & Resorts's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

DB:2WY

-2.9%

DE Hospitality

0.9%

DE Market


1 Year Return

-7.1%

DB:2WY

-52.6%

DE Hospitality

-8.5%

DE Market

2WY outperformed the Hospitality industry which returned -52.5% over the past year.

2WY outperformed the Market in Germany which returned -8.7% over the past year.


Share holder returns

2WYIndustryMarket
7 Day0.7%-2.9%0.9%
30 Day2.2%-6.5%0.3%
90 Day10.3%-9.2%1.1%
1 Year-5.2%-7.1%-49.4%-52.6%-5.6%-8.5%
3 Yearn/a-22.3%-33.1%20.7%10.1%
5 Yearn/a-6.5%-25.2%26.8%9.1%

Price Volatility Vs. Market

How volatile is Wyndham Hotels & Resorts's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Wyndham Hotels & Resorts undervalued based on future cash flows and its price relative to the stock market?

38.74x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Wyndham Hotels & Resorts's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Wyndham Hotels & Resorts's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Wyndham Hotels & Resorts is overvalued based on earnings compared to the DE Hospitality industry average.

Wyndham Hotels & Resorts is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

Wyndham Hotels & Resorts is poor value based on expected growth next year.


Price Based on Value of Assets

Wyndham Hotels & Resorts is overvalued based on assets compared to the DE Hospitality industry average.


Next Steps

Future Growth

How is Wyndham Hotels & Resorts expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

26.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Wyndham Hotels & Resorts's revenue is expected to grow by 9.8% yearly, however this is not considered high growth (20% yearly).

Wyndham Hotels & Resorts's earnings are expected to grow significantly at over 20% yearly.

Wyndham Hotels & Resorts's revenue growth is expected to exceed the Germany market average.

Wyndham Hotels & Resorts's earnings growth is expected to exceed the Germany market average.

Wyndham Hotels & Resorts's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Wyndham Hotels & Resorts will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Wyndham Hotels & Resorts performed over the past 5 years?

3.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Wyndham Hotels & Resorts's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Wyndham Hotels & Resorts's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Wyndham Hotels & Resorts's 1-year earnings growth is negative, it can't be compared to the DE Hospitality industry average.


Return on Equity

Wyndham Hotels & Resorts has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Wyndham Hotels & Resorts used its assets less efficiently than the DE Hospitality industry average last year based on Return on Assets.


Return on Capital Employed

Wyndham Hotels & Resorts's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Wyndham Hotels & Resorts's financial position?


Financial Position Analysis

Wyndham Hotels & Resorts is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Wyndham Hotels & Resorts's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Wyndham Hotels & Resorts's level of debt (157.7%) compared to net worth is high (greater than 40%).

Unable to establish if Wyndham Hotels & Resorts's debt level has increased without past 5-year debt data.

Debt is not well covered by operating cash flow (10.3%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.9x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

What is Wyndham Hotels & Resorts's current dividend yield, its reliability and sustainability?

2.11%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Wyndham Hotels & Resorts's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.45%).

Wyndham Hotels & Resorts's dividend is below the markets top 25% of dividend payers in Germany (3.91%).

It is too early to tell whether Wyndham Hotels & Resorts has stable dividend payments.

Wyndham Hotels & Resorts only just started paying a dividend, it is too early to tell if payments are increasing.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.3x coverage).


Next Steps

Management

What is the CEO of Wyndham Hotels & Resorts's salary, the management and board of directors tenure and is there insider trading?

1.0yrs

Average management tenure


CEO

Geoff Ballotti (56yo)

1.0yrs

Tenure

US$8,815,739

Compensation

Mr. Geoffrey A. Ballotti, also known as Geoff, has been the Chief Executive Officer and President of Hotel Division at Wyndham Worldwide Corporation since March 28, 2014. Mr. Ballotti has been Chief Execut ...


CEO Compensation Analysis

Geoff's remuneration is higher than average for companies of similar size in Germany.

Geoff's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

1.0yrs

Average Tenure

50yo

Average Age

The average tenure for the Wyndham Hotels & Resorts management team is less than 2 years, this suggests a new team.


Board Age and Tenure

1.0yrs

Average Tenure

65yo

Average Age

The average tenure for the Wyndham Hotels & Resorts board of directors is less than 3 years, this suggests a new board.


Insider Trading

Wyndham Hotels & Resorts insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell€221,48710 Jun 19
Michele Allen
EntityIndividual
Shares4,475
Max Price€49.49
Sell€73,66710 Jun 19
Nicola Rossi
EntityIndividual
Role
Chief Accounting Officer
Shares1,500
Max Price€49.11
Sell€499,25521 May 19
Pauline D. Richards
EntityIndividual
Shares10,000
Max Price€49.93
Buy€172,17707 Sep 18
David Wyshner
EntityIndividual
Role
Chief Financial Officer
Shares3,669
Max Price€46.93
Sell€45,50109 Aug 18
Thomas Barber
EntityIndividual
Role
Global Chief Development Officer
Shares879
Max Price€51.77
Buy€531,39206 Aug 18
Geoffrey Ballotti
EntityIndividual
Role
President
Member of the Board of Directors
Shares10,000
Max Price€53.14

Ownership Breakdown


Management Team

  • Thomas Barber (46yo)

    Global Chief Development Officer

    • Tenure: 1.0yrs
  • Mary Falvey (57yo)

    Chief Administrative Officer

    • Tenure: 1.0yrs
    • Compensation: $5.15m
  • Nicola Rossi (51yo)

    Chief Accounting Officer

  • Bob Loewen (52yo)

    Chief Operating Officer

    • Tenure: 1.0yrs
    • Compensation: $3.14m
  • Matt Capuzzi Capuzzi

    Vice President

  • Lisa Checchio (37yo)

    Chief Marketing Officer

  • David Wyshner (50yo)

    Chief Financial Officer

    • Tenure: 1.0yrs
    • Compensation: $6.35m
  • Scott Strickland (47yo)

    Chief Information Officer

    • Tenure: 1.0yrs
  • Paul Cash (48yo)

    General Counsel & Corporate Secretary

    • Tenure: 1.0yrs
    • Compensation: $2.35m
  • Geoff Ballotti (56yo)

    President

    • Tenure: 1.0yrs
    • Compensation: $8.82m

Board Members

  • M. Mulroney (78yo)

    Lead Director

    • Tenure: 1.0yrs
    • Compensation: $349.10k
  • Myra Biblowit (69yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $317.58k
  • James Buckman (73yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $312.97k
  • Steve Holmes (61yo)

    Non-Executive Chairman

    • Tenure: 1.0yrs
    • Compensation: $387.31k
  • Geoff Ballotti (56yo)

    President

    • Tenure: 1.0yrs
    • Compensation: $8.82m
  • Bruce Churchill (60yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $376.31k
  • Mukul Deoras (54yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $299.85k
  • Pauline Richards (69yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $318.58k

Company Information

Wyndham Hotels & Resorts, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wyndham Hotels & Resorts, Inc.
  • Ticker: 2WY
  • Exchange: DB
  • Founded: 2017
  • Industry: hotels, resorts and cruise lines
  • Sector: consumer services
  • Market Cap: US$5.482b
  • Listing Market Cap: US$4.887b
  • Shares outstanding: 97.29m
  • Website: Click here

Number of Employees


Location

  • Wyndham Hotels & Resorts, Inc.
  • 22 Sylvan Way
  • Parsippany
  • New Jersey
  • 7054
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WHNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2018
2WYDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2018
0YTRLSE (London Stock Exchange)YesCommon StockGBUSDMay 2018

Biography

Wyndham Hotels & Resorts, Inc. operates as a hotel franchisor worldwide. The company licenses its hotel brands, including Super 8, Days Inn, Ramada, Microtel Inn & Suites, La Quinta, Wingate, AmericInn, Ha ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/06/19 22:31
End of Day Share Price2019/06/19 00:00
Earnings2019/03/31
Annual Earnings2018/12/31


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 here.