Wyndham Hotels & Resorts, Inc. operates as a hotel franchisor worldwide.
Reasonable growth potential and fair value.
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
Stable Share Price: 2WY's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 2WY exceeded the German Hospitality industry which returned -35.6% over the past year.
Return vs Market: 2WY underperformed the German Market which returned 3% over the past year.
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
Is Wyndham Hotels & Resorts undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 2WY (€37) is trading below our estimate of fair value (€101.46)
Significantly Below Fair Value: 2WY is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 2WY is poor value based on its PE Ratio (25.6x) compared to the DE Hospitality industry average (20.4x).
PE vs Market: 2WY is poor value based on its PE Ratio (25.6x) compared to the German market (21x).
Price to Earnings Growth Ratio
PEG Ratio: 2WY is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: 2WY is overvalued based on its PB Ratio (3.5x) compared to the DE Hospitality industry average (2.1x).
How is Wyndham Hotels & Resorts forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 2WY's forecast earnings growth (32.9% per year) is above the savings rate (0.2%).
Earnings vs Market: 2WY's earnings (32.9% per year) are forecast to grow faster than the German market (22.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 2WY's revenue (13.8% per year) is forecast to grow faster than the German market (6% per year).
High Growth Revenue: 2WY's revenue (13.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if 2WY's Return on Equity is forecast to be high in 3 years time
How has Wyndham Hotels & Resorts performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 2WY has a large one-off loss of $151.0M impacting its March 31 2020 financial results.
Growing Profit Margin: 2WY's current net profit margins (11.3%) are higher than last year (10.6%).
Past Earnings Growth Analysis
Earnings Trend: 2WY's earnings have declined by -4.5% per year over the past 5 years.
Accelerating Growth: 2WY's earnings growth over the past year (9.7%) exceeds its 5-year average (-4.5% per year).
Earnings vs Industry: 2WY earnings growth over the past year (9.7%) exceeded the Hospitality industry -15.6%.
Return on Equity
High ROE: 2WY's Return on Equity (14.2%) is considered low.
How is Wyndham Hotels & Resorts's financial position?
Financial Position Analysis
Short Term Liabilities: 2WY's short term assets ($1.1B) exceed its short term liabilities ($415.0M).
Long Term Liabilities: 2WY's short term assets ($1.1B) do not cover its long term liabilities ($3.6B).
Debt to Equity History and Analysis
Debt Level: 2WY's debt to equity ratio (257.6%) is considered high.
Reducing Debt: Insufficient data to determine if 2WY's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: 2WY's debt is not well covered by operating cash flow (3.8%).
Interest Coverage: 2WY's interest payments on its debt are well covered by EBIT (4.6x coverage).
What is Wyndham Hotels & Resorts's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 2WY's dividend (0.76%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.25%).
High Dividend: 2WY's dividend (0.76%) is low compared to the top 25% of dividend payers in the German market (3.85%).
Stability and Growth of Payments
Stable Dividend: 2WY has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 2WY has only been paying a dividend for 2 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (71.9%), 2WY's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 2WY's dividends in 3 years are forecast to be well covered by earnings (24% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Geoff Ballotti (58yo)
Mr. Geoffrey A. Ballotti, also known as Geoff, has been the Chief Executive Officer and President of Hotel Division at Wyndham Worldwide Corporation since March 28, 2014. Mr. Ballotti has been Chief Execut ...
CEO Compensation Analysis
Compensation vs Market: Geoff's total compensation ($USD6.72M) is above average for companies of similar size in the German market ($USD2.59M).
Compensation vs Earnings: Geoff's compensation has been consistent with company performance over the past year.
|Chief Financial Officer||0.58yr||US$1.20m||0.0032% $109.0k|
|Chief Administrative Officer||2.08yrs||US$2.68m||0.13% $4.5m|
|Chief Accounting Officer||no data||no data||0.0028% $95.8k|
|Chief Information Officer||2.08yrs||no data||0.0049% $169.9k|
|Vice President of Investor Relations||no data||no data||no data|
|General Counsel||2.08yrs||US$2.35m||0.014% $486.5k|
|Group Vice President of Global Communications||no data||no data||no data|
|Chief Marketing Officer||no data||no data||0.0056% $192.7k|
|President of Americas||no data||no data||0.0017% $58.8k|
Experienced Management: 2WY's management team is considered experienced (2.1 years average tenure).
|Independent Director||2.08yrs||US$412.50k||0.0085% $294.5k|
|Lead Independent Director||0.92yr||US$477.13k||0.0075% $260.2k|
|Non-Executive Chairman||2.08yrs||US$500.11k||0.69% $23.9m|
|Independent Director||0.92yr||US$116.19k||0.033% $1.2m|
|Independent Director||2.08yrs||US$414.40k||0.0078% $269.9k|
|Independent Director||2.08yrs||US$440.19k||no data|
|Independent Director||2.08yrs||US$359.02k||0.0028% $95.5k|
Experienced Board: 2WY's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 2WY insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Wyndham Hotels & Resorts, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Wyndham Hotels & Resorts, Inc.
- Ticker: 2WY
- Exchange: DB
- Founded: 2017
- Industry: Hotels, Resorts and Cruise Lines
- Sector: Consumer Services
- Market Cap: US$3.910b
- Listing Market Cap: US$3.460b
- Shares outstanding: 93.09m
- Website: https://www.wyndhamhotels.com
Number of Employees
- Wyndham Hotels & Resorts, Inc.
- 22 Sylvan Way
- New Jersey
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|WH||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||May 2018|
|2WY||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||May 2018|
|0YTR||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||May 2018|
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, Baymont, Wingate, AmericInn, Hawthorn Suites, The Trademark Collection, and Wyndham to hotel owners in approximately 90 countries. Its Hotel Franchising segments licenses its lodging brands and provides related services to third-party hotel owners and others. The company’s Hotel Management segment provides hotel management services for full-service and limited service hotels. As of June 25, 2020, it operated a portfolio of 20 hotel brands with approximately 9,300 hotels with approximately 828,000 rooms in approximately 90 countries. Wyndham Hotels & Resorts, Inc. is also involved in the loyalty program business. The company was incorporated in 2017 and is headquartered in Parsippany, New Jersey.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/10 21:23|
|End of Day Share Price||2020/07/10 00:00|
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.