Wyndham Hotels & Resorts, Inc.

NYSE:WH Stock Report

Mkt Cap: US$6.8b

We’ve recently updated our valuation analysis.

Wyndham Hotels & Resorts Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

WH key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue6.4x
Enterprise Value/EBITDA14.2x
PEG Ratio4.5x

Price to Earnings Ratio vs Peers

How does WH's PE Ratio compare to its peers?

The above table shows the PE ratio for WH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average33.4x
VAC Marriott Vacations Worldwide
16.8x17.9%US$6.0b
CHH Choice Hotels International
19.2x6.3%US$6.4b
H Hyatt Hotels
88.6x22.0%US$11.7b
TNL Travel + Leisure
9.1x7.9%US$3.4b
WH Wyndham Hotels & Resorts
19.7x4.4%US$6.7b

Price-To-Earnings vs Peers: WH is good value based on its Price-To-Earnings Ratio (19.7x) compared to the peer average (33.4x).


Price to Earnings Ratio vs Industry

How does WH's PE Ratio compare vs other companies in the US Hospitality Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a26.9%
n/an/an/a

Price-To-Earnings vs Industry: WH is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the US Hospitality industry average (18.8x)


Price to Earnings Ratio vs Fair Ratio

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

WH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.7x
Fair PE Ratio18.9x

Price-To-Earnings vs Fair Ratio: WH is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the estimated Fair Price-To-Earnings Ratio (18.9x).


Share Price vs Fair Value

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

Below Fair Value: WH ($77.51) is trading above our estimate of fair value ($51.96)

Significantly Below Fair Value: WH is trading above our estimate of fair value.


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 WH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$77.51
US$86.65
+11.8%
5.9%US$100.00US$81.50n/a10
Jan ’24US$71.31
US$87.75
+23.1%
5.6%US$100.00US$81.50n/a10
Dec ’23US$73.27
US$86.94
+18.7%
6.5%US$100.00US$80.00n/a9
Nov ’23US$75.13
US$86.94
+15.7%
6.5%US$100.00US$80.00n/a9
Oct ’23US$61.35
US$86.17
+40.5%
8.1%US$100.00US$77.00n/a9
Sep ’23US$64.36
US$87.25
+35.6%
7.7%US$100.00US$77.00n/a10
Aug ’23US$68.84
US$87.25
+26.7%
7.7%US$100.00US$77.00n/a10
Jul ’23US$67.25
US$95.91
+42.6%
7.9%US$103.00US$77.00n/a11
Jun ’23US$78.99
US$97.80
+23.8%
5.0%US$103.00US$85.00n/a10
May ’23US$87.96
US$97.80
+11.2%
5.0%US$103.00US$85.00n/a10
Apr ’23US$84.54
US$97.10
+14.9%
5.5%US$106.00US$85.00n/a10
Mar ’23US$83.54
US$96.80
+15.9%
5.6%US$106.00US$85.00n/a10
Feb ’23US$85.55
US$94.35
+10.3%
6.9%US$103.00US$79.00US$77.5110
Jan ’23US$89.65
US$92.35
+3.0%
6.2%US$100.00US$79.00US$71.3110
Dec ’22US$76.42
US$92.85
+21.5%
6.2%US$100.00US$79.00US$73.2710
Nov ’22US$84.70
US$92.50
+9.2%
6.3%US$100.00US$79.00US$75.1310
Oct ’22US$80.21
US$82.50
+2.9%
6.1%US$91.00US$70.00US$61.3510
Sep ’22US$72.73
US$82.73
+13.7%
6.4%US$91.00US$70.00US$64.3611
Aug ’22US$72.06
US$81.91
+13.7%
6.6%US$91.00US$70.00US$68.8411
Jul ’22US$72.97
US$81.27
+11.4%
6.8%US$91.00US$68.00US$67.2511
Jun ’22US$76.10
US$81.27
+6.8%
6.8%US$91.00US$68.00US$78.9911
May ’22US$73.11
US$81.27
+11.2%
6.8%US$91.00US$68.00US$87.9611
Apr ’22US$71.74
US$70.00
-2.4%
4.6%US$75.00US$64.00US$84.5411
Mar ’22US$65.10
US$68.36
+5.0%
4.1%US$74.00US$64.00US$83.5411
Feb ’22US$58.80
US$65.73
+11.8%
6.5%US$75.00US$57.00US$85.5511

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


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