Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Southern United States.
Adequate balance sheet and slightly overvalued.
Share Price & News
How has Sotherly Hotels's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MCL's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: MCL underperformed the German REITs industry which returned 8% over the past year.
Return vs Market: MCL underperformed the German Market which returned 8% over the past year.
Price Volatility Vs. Market
How volatile is Sotherly Hotels's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Sotherly Hotels 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: MCL (€1.77) is trading below our estimate of fair value (€3.74)
Significantly Below Fair Value: MCL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MCL is unprofitable, so we can't compare its PE Ratio to the DE REITs industry average.
PE vs Market: MCL is unprofitable, so we can't compare its PE Ratio to the German market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate MCL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: MCL has negative assets, so we can't compare its PB Ratio to the DE REITs industry average.
How is Sotherly Hotels forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MCL is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: MCL is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: MCL is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: MCL's revenue (6.7% per year) is forecast to grow faster than the German market (5.8% per year).
High Growth Revenue: MCL's revenue (6.7% 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 MCL's Return on Equity is forecast to be high in 3 years time
How has Sotherly Hotels performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MCL is currently unprofitable.
Growing Profit Margin: MCL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: MCL is unprofitable, and losses have increased over the past 5 years at a rate of 65.9% per year.
Accelerating Growth: Unable to compare MCL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: MCL is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (25.3%).
Return on Equity
High ROE: MCL has a negative Return on Equity (-14%), as it is currently unprofitable.
How is Sotherly Hotels's financial position?
Financial Position Analysis
Short Term Liabilities: MCL's short term assets ($34.2M) exceed its short term liabilities ($31.3M).
Long Term Liabilities: MCL's short term assets ($34.2M) do not cover its long term liabilities ($359.4M).
Debt to Equity History and Analysis
Debt Level: MCL's debt to equity ratio (424%) is considered high.
Reducing Debt: MCL's debt to equity ratio has reduced from 931.4% to 424% over the past 5 years.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable MCL has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: MCL is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 12.4% per year.
What is Sotherly Hotels's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate MCL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate MCL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if MCL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if MCL's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: MCL is not paying a notable dividend for the German market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of MCL's dividend in 3 years as they are not forecast to pay a notable one for the German market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dave Folsom (55 yo)
Mr. David R. Folsom, also known as Dave, has been the President of Sotherly Hotels Inc., the General Partner of Sotherly Hotels LP (formerly MHI Hospitality, L.P.) since January 19, 2011 and served as its ...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD606.89K) is about average for companies of similar size in the German market ($USD475.35K).
Compensation vs Earnings: Dave's compensation has increased whilst the company is unprofitable.
|VP, Secretary & CFO||7.58yrs||US$504.03k||0.69% |
|Executive VP & COO||0.58yr||no data||0.19% |
|Vice President of Operations & Investor Relations||0.50yr||no data||no data|
|Corporate Counsel & Compliance Officer||0.50yr||no data||no data|
|General Counsel||0.58yr||no data||no data|
|Vice President of Branding & Marketing||0.50yr||no data||no data|
|Corporate Controller||6.58yrs||no data||no data|
Experienced Management: MCL's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.
|Independent Director||15.67yrs||US$45.05k||0.50% |
|Independent Director||5.33yrs||US$44.68k||0.12% |
|Lead Independent Director||no data||US$57.93k||0.31% |
|Independent Director||3.33yrs||US$56.68k||0.18% |
|Independent Director||1.33yrs||US$33.68k||0.037% |
Experienced Board: MCL's board of directors are considered experienced (7.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.8%.
Sotherly Hotels Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Sotherly Hotels Inc.
- Ticker: MCL
- Exchange: DB
- Founded: 1957
- Industry: Hotel and Resort REITs
- Sector: Real Estate
- Implied Market Cap: US$34.830m
- Market Cap: US$25.982m
- Listing Market Cap: US$29.403m
- Shares outstanding: 15.98m
- Website: https://www.sotherlyhotels.com
Number of Employees
- Sotherly Hotels Inc.
- 306 South Henry Street
- Suite 100
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SOHO||NasdaqGM (Nasdaq Global Market)||Yes||Common Stock||US||USD||Dec 2004|
|MCL||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Dec 2004|
|SOHO.B||NasdaqGM (Nasdaq Global Market)||PFD SER B||US||USD||Aug 2016|
|SOHO.O||NasdaqGM (Nasdaq Global Market)||7.875% PFD SER C||US||USD||Oct 2017|
|SOHO.N||NasdaqGM (Nasdaq Global Market)||8.25% CM PFD D||US||USD||Apr 2019|
Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Souther ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/08/06 21:24|
|End of Day Share Price||2020/08/06 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.