NYSE:BHR

Stock Analysis Report

Braemar Hotels & Resorts

Executive Summary

Braemar Hotels & Resorts is a conservatively capitalized REIT that invests primarily in high RevPAR, full-service luxury hotels and resorts.


Snowflake Analysis

Fair value with worrying balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BHR's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.7%

BHR

20.4%

US REITs

12.5%

US Market


1 Year Return

-84.8%

BHR

-19.8%

US REITs

-12.7%

US Market

Return vs Industry: BHR underperformed the US REITs industry which returned -19.8% over the past year.

Return vs Market: BHR underperformed the US Market which returned -12.7% over the past year.


Shareholder returns

BHRIndustryMarket
7 Day2.7%20.4%12.5%
30 Day-74.2%-19.3%-14.7%
90 Day-78.7%-24.5%-21.5%
1 Year-83.8%-84.8%-16.8%-19.8%-10.9%-12.7%
3 Year-78.5%-82.2%-0.8%-12.9%12.6%5.4%
5 Year-85.5%-88.8%12.1%-10.8%31.9%17.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Braemar Hotels & Resorts undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BHR ($1.9) is trading below our estimate of fair value ($14.24)

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


Price To Earnings Ratio

PE vs Industry: BHR is unprofitable, so we can't compare its PE Ratio to the REITs industry average.

PE vs Market: BHR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate BHR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BHR is good value based on its PB Ratio (0.2x) compared to the US REITs industry average (1.3x).


Next Steps

Future Growth

How is Braemar Hotels & Resorts forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-29.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BHR is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: BHR is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: BHR is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: BHR's revenue (1.8% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: BHR's revenue (1.8% 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 BHR's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

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

-15.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BHR is currently unprofitable.

Growing Profit Margin: BHR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BHR is unprofitable, and losses have increased over the past 5 years at a rate of -15.4% per year.

Accelerating Growth: Unable to compare BHR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BHR is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (5%).


Return on Equity

High ROE: BHR has a negative Return on Equity (0.23%), as it is currently unprofitable.


Next Steps

Financial Health

How is Braemar Hotels & Resorts's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: BHR has a high level of physical assets or inventory.

Debt Coverage by Assets: BHR's debt is not covered by short term assets (assets are 0.2x debt).


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 BHR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: BHR is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 17% per year.


Financial Institutions Analysis

Asset Level: BHR's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if BHR has a sufficient allowance for bad loans.

Low Risk Liabilities: BHR reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if BHR has an acceptable proportion of non-loan assets held.

Low Risk Deposits: BHR has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if BHR has an appropriate level of bad loans.


Next Steps

Dividend

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

33.68%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate BHR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BHR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if BHR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BHR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: BHR is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BHR's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.8yrs

Average management tenure


CEO

Richard Stockton (48yo)

3.33s

Tenure

US$1,729,331

Compensation

Mr. Richard J. Stockton was an Independent Trustee and Lead Independent Trustee at Spirit MTA REIT since May 30, 2018. Mr. Stockton has been the Chief Executive Officer of Braemar Hotels & Resorts Inc. (fo ...


Leadership Team

NamePositionTenureCompensationOwnership
Richard Stockton
President & CEO3.33yrsUS$1.73m1.27% $889.3k
Deric Eubanks
CFO & Treasurer5.75yrsUS$729.74k0.37% $257.6k
Jeremy Welter
Chief Operating Officer2yrsUS$729.74k0.065% $45.9k
J. Hays
Chief Strategy Officer4.83yrsUS$729.74k0.12% $86.5k
Mark Nunneley
Chief Accounting Officer6.92yrsno data0.73% $513.9k
Jordan Jennings
Managerno datano datano data
Robert Haiman
Executive VPno datano data0.066% $46.6k
James Plohg
Associate General Counselno datano datano data

4.8yrs

Average Tenure

45.5yo

Average Age

Experienced Management: BHR's management team is considered experienced (4.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Montgomery Bennett
Chairman of the Board6.92yrsUS$1.73m1.41% $986.0k
Curtis McWilliams
Lead Independent Director7.17yrsUS$177.82k0.11% $75.6k
Kenneth Fearn
Independent Director3.58yrsUS$148.82k0.055% $38.6k
Abteen Vaziri
Independent Director2.42yrsUS$132.82k0.010% $7.2k
Stefani Carter
Independent Director6.33yrsUS$157.82k0.057% $39.6k
Matthew Rinaldi
Independent Director6.33yrsUS$155.82k0.087% $61.1k
Mary Evans
Independent Director1.17yrsno data0.0035% $2.4k

6.3yrs

Average Tenure

53yo

Average Age

Experienced Board: BHR's board of directors are considered experienced (6.3 years average tenure).


Ownership

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

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Braemar Hotels & Resorts, Inc.
  • Ticker: BHR
  • Exchange: NYSE
  • Founded: 2013
  • Industry: Hotel and Resort REITs
  • Sector: Real Estate
  • Implied Market Cap: US$70.147m
  • Market Cap: US$61.525m
  • Shares outstanding: 36.92m
  • Website: https://www.bhrreit.com

Location

  • Braemar Hotels & Resorts, Inc.
  • 14185 Dallas Parkway
  • Suite 1100
  • Dallas
  • Texas
  • 75254
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHRNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 2013
42VDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2013
BHR.PRBNYSE (New York Stock Exchange)5.5 CUM CV PFD BUSUSDMay 2016
BHR.PRDNYSE (New York Stock Exchange)Pfd Ser DUSUSDNov 2018

Biography

Braemar Hotels & Resorts is a conservatively capitalized REIT that invests primarily in high RevPAR, full-service luxury hotels and resorts. We are listed on the New York Stock Exchange under the symbol BHR and are externally-advised by Ashford (NYSE American: AINC). 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 04:31
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.